The three motives that John Maynard Keynes identified for why people hold money are the _______, ________ and _______ motives.
Fill in the blank(s) with the appropriate word(s).
precautionary; speculative; transactions
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Leading, coincident, and lagging indicators are based on the concept that:
A) expectations of future inflation is the driving force of the economy. B) expectations of future profits are the driving force of the economy. C) expectations of future unemployment is the driving force of the economy. D) none of the above.
If the Fed increases the required reserve ratio at a time when banks are holding excess reserves, then: a. the Fed's aim is to increase the money supply
b. banks are likely to lend out more money than they would if the Fed left the reserve ratio alone. c. banks are likely to earn higher profits than they would. d. the money supply will not increase as much as it would if the Fed left the reserve ratio alone. e. the Fed's aim is to conduct open market operations without changing the money supply.