If Sally Smith creates VCU1 by playing an online game, the effect is to cause the nation's:

a. Monetary base to rise.
b. M2 money supply to rise.
c. M2 money multiplier to remain the same.
d. M2 money multiplier to rise.

.C

Economics

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According to the Keynesian view, as interest rates fall

a. people will hold more money b. people will hold less money c. people will increase interest-yielding asset holdings d. the quantity demanded of investment goods will fall e. the economy's aggregate demand will contract

Economics

Which of the following statements is true?

A. The active antitrust perspective believes that competitive market forces will automatically and actively reduce a firm's monopoly power in the long run B. The active antitrust perspective believes that the government should play the role of officials and umpires and enforce the rules of the competitive game C. The laissez-faire perspective views firms as players in a competitive game who will sometimes violate the rules in order to gain a huge advantage over others D. The laissez-faire perspective believes that an active enforcement of antitrust policy is the only way to reduce the monopoly power of giant firms

Economics