The currency deposit ratio, c, is 0.10. The reserve requirement, rr, is 0.08. The excess reserve ratio, e, is 0.05. What is the size of the money multiplier?

Refer to the scenario above. What is the national income of the economy?

A) $7,000 B) $10,000 C) $2,000 D) $5,000

According to the quantity theory of money, changes in the price level are primarily the result of changes in the:

A. quantity of money. B. unemployment rate. C. rate of spending. D. total output.