In the Keynesian model, which of the following will cause a reduction in interest rates?
A) An increase in money demand
B) An increase in money supply
C) An increase in saving
D) A decline in saving
B
You might also like to view...
When tax revenue exceed the government's outlays, the budget
A) has a deficit and the national debt is increasing. B) is balanced and the national debt is decreasing. C) has a surplus and the national debt is decreasing. D) has a surplus and the national debt is increasing. E) None of the above because by law tax revenue cannot exceed the government's expenditures.
The figure above shows the housing market in the city of Appleville. A rent ceiling of $650 per month is imposed. With the rent ceiling, the deadweight loss in the Appleville housing market is
A) zero. B) at least $15,000 per month. C) at most $7,500 per month. D) 300 units per month.