Higher real income ________ the demand for money and a higher price level ________ the demand for money.

A. decreases; increases
B. increases; decreases
C. increases; increases
D. decreases; decreases

Answer: C

Economics

You might also like to view...

Which of the following macroeconomic variables would likely be affected by a fiscal policy?

a. The nominal interest rate b. The exchange rate c. The discount rate d. Employment e. Money supply

Economics

Refer to the information. The total cost of producing 3 units of output is:



The Sunshine Corporation finds that its costs are $40 when it produces no output. Its total variable costs (TVC) change with output as shown in the accompanying table. Use this information to answer the following question.

A. $65.
B. $105.
C. $145.
D. $185.

Economics