In late 2007 and early 2008, the U.S. Federal Reserve pursued expansionary monetary policy. Which of the following will occur as a result of this monetary policy action?
A) The LM curve shifts down.
B) The LM curve shifts up.
C) The IS curve shifts rightward as the interest rate falls.
D) The IS curve shifts leftward as the interest rate increases.
E) none of the above
A
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Which of the following lists includes only changes that shift aggregate demand to the right?
a. repeal of an investment tax credit, an increase in the money supply b. repeal of an investment tax credit, a decrease in the money supply c. passing of an investment tax credit, an increase in the money supply d. passing of an investment tax credit, a decrease in the money supply
Commodity money is a good
A) used as money that has no secondary use. B) that is designated as money by law. C) used as money that also has value independent of its use as money. D) used as money that has no intrinsic value.