If the nominal interest rates rises, then the inflation rate must have increased

An increase in demand for resources fixed or specific to an industry will cause their earnings _____ because those resources cannot be released from other industries.

a. to fall b. to rise by the same rate as for all resources c. to rise disproportionally d. to fall disproportionally

If the Fed wants to increase the federal funds rate, it will conduct an open market operation in which it ________ government securities and thereby shifts the ________ curve ________

A) sells; RD; leftward B) sells; RS; rightward C) sells; RS; leftward D) buys; RD; rightward E) buys; RS; leftward The figure above shows the market for reserves.