In which of the following years was a tax cut ineffective in stimulating aggregate demand?

The existence of money in an economy promotes efficiency by

A) facilitating trade, thereby allowing for greater specialization. B) allowing for the formation of corporations as legal entities. C) creating incentives to be self-sufficient. D) creating an equal distribution of income.

The real balances effect is the impact on real GDP caused by the ____ relationship between the price level and the real value of financial assets

a. direct b. inverse c. independent d. linear