The demand curve for investment in the economy as a function of interest rates is:

Economists generally conclude that because GDP rose as a result of the response to the 2005 Hurricanes, they were really a good thing

a. True b. False

If there is a leftward shift of the money demand curve, which of the following should the Fed do if it wants to keep the price level stable?

a. Lower its interest rate target b. Sell bonds in the open market c. Wait, since the price level does not usually change when the money demand curve shifts d. Raise its interest rate target e. Buy bonds in the open market