In the United States, the typical person who has lost his or her job finds another one in a few months except during severe recessions

Which of the following will lead to a decrease in the price of existing bonds?

A) a decrease in the rate of interest B) a reduction in the money supply C) an inward shift in money demand D) a decrease in planned investment spending

A newspaper headline asserts: "Rising demand pulls up copper prices." The headline

A) is claiming demand determines price (rather than price determining demand). B) is claiming more copper would be demanded at higher prices. C) is claiming prices will fluctuate indefinitely. D) is guilty of all three errors mentioned above. E) makes perfectly good sense from the standpoint of economic theory.