If money demand changes for some reason other than a spending shock, the Fed can stabilize
a. GDP without changing the interest rate
b. GDP, but at the expense of interest rate stability
c. GDP by keeping the interest rate stable
d. the price level by keeping the interest rate stable
e. the price level and GDP by stabilizing the interest rate
C
Economics
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An open market sale
A) decreases the price of Treasury securities and also decreases their yield. B) increases the price of Treasury securities and decreases their yield. C) increases the price of Treasury securities and also increases their yield. D) decreases the price of Treasury securities and increases their yield.
Economics
A variable which is independent of the level of income is
A) endogenous. B) exogenous. C) autonomous. D) irrelevant to any theory of income determination.
Economics