At the current interest rate, suppose the supply of money is less than the demand for money. Given this information, we know that

A) the price of bonds will tend increase.
B) the price of bonds will tend to fall.
C) production equals demand.
D) the goods market is also in equilibrium.
E) the supply of bonds also equals the demand for bonds.

B

Economics

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A) zero B) -$5.00 C) $5.00 D) $12.50

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Suppose GDP is $4,000 billion and aggregate expenditure is $3,750 billion. Inventories will

a. increase by $250 billion b. increase by $375 billion c. increase by $400 billion d. decrease by $250 billion e. decrease by $375 billion

Economics