The money rate of interest will be less than the real rate of interest when decision makers anticipate

When the nominal interest rate increases, the

A) demand for money increases and the demand for money curve shifts rightward. B) demand for money decreases and the demand for money curve shifts leftward. C) quantity of money demanded increases and there is a movement upward along the demand for money curve. D) supply of money curve shifts rightward. E) quantity of money demanded decreases and there is a movement upward along the demand for money curve.

A capital ________ can promote financial instability in an emerging-market country because it can lead to a lending boom and excessive risk-taking on the part of banks, which helps trigger a ________

A) inflow; financial crisis B) inflow; currency devaluation C) outflow; financial crisis D) outflow; currency devaluation