If Sally Smith creates VCU1 by playing an online game, the effect is to cause the nation's:
a. Monetary base to fall.
b. M2 money supply to fall.
c. M2 money multiplier to fall.
d. Monetary base to remain the same.
.D
You might also like to view...
In his Liquidity Preference Framework, Keynes assumed that money has a zero rate of return; thus
A) when interest rates rise, the expected return on money falls relative to the expected return on bonds, causing the demand for money to fall. B) when interest rates rise, the expected return on money falls relative to the expected return on bonds, causing the demand for money to rise. C) when interest rates fall, the expected return on money falls relative to the expected return on bonds, causing the demand for money to fall. D) when interest rates fall, the expected return on money falls relative to the expected return on bonds, causing the demand for money to rise.
If Verizon Wireless and T-mobile, another wireless service company, were to merge, this would represent
A) a vertical merger. B) a horizontal merger. C) a cartel. D) an up-and-down merger.