In the Classical model, the aggregate supply curve determines the

If there is an excess demand for money, individuals ________ bonds, causing interest rates to ________

A) sell; rise B) sell; fall C) buy; rise D) buy; fall

The life insurance industry's share of total financial intermediary assets fell from 15.3% at the end of 1970 to 11.5% at the end of 1980 because of

A) poor investment returns in the 1970s. B) widespread failures of life insurance companies. C) federal regulations limiting the sale of life insurance. D) unpredictability of payouts.