If the Fed sells more bonds to the public, then the money supply will:
A. Decrease and the aggregate demand curve will shift to the right.
B. Increase and the aggregate demand curve will shift to the right.
C. Increase and the aggregate demand curve will shift to the left.
D. If the Fed sells more bonds to the public, then the money supply will shift to the left.
D. If the Fed sells more bonds to the public, then the money supply will shift to the left.
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The most important function of money is when money is used as a
A) medium of exchange. B) unit of accounting. C) standard of deferred payment. D) store of value.
As you move up along a straight-line demand curve,
A) the price elasticity of demand decreases in size. B) the price elasticity of demand increases in size. C) total revenue always decreases. D) total revenue always increases. E) total revenue never changes.