When the price level increases, total planned real expenditures on goods and services falls. All of the following are responsible EXCEPT
A) the interest rate effect. B) the real-balance effect.
C) the substitution effect. D) the open economy effect.
C
Economics
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An increase in the nominal interest rate, other things constant, will: a. shift the money demand curve to the right
b. shift the money demand curve to the left. c. increase the quantity of money people choose to hold. d. decrease the quantity of money people choose to hold. e. have no impact on the money demand curve.
Economics
Economists can evaluate the desirability of the distribution of income
a. True b. False Indicate whether the statement is true or false
Economics