When the interest rate is above the equilibrium interest rate there is an
A) excess quantity of money and people will sell bonds.
B) excess demand for money and people will sell bonds.
C) excess quantity of money and people will buy bonds.
D) excess demand for money and people will buy bonds.
C
Economics
You might also like to view...
What is a long-run supply curve? What does a long-run supply curve look like on a perfectly competitive market graph?
What will be an ideal response?
Economics
A classical objection to Keynesian sticky price models is that
A) it is easier for firms to change prices rather than change output. B) it is cheaper for firms to change output rather than change prices. C) sticky price models are internally inconsistent. D) real shocks are more important than nominal shocks.
Economics