Which of the following will increase both money supply and money demand in the short run?
a. An open market sale of bonds by the Fed
b. An open market purchase of bonds by the Fed
c. An increase in government purchases
d. A decrease in taxes
e. An increase in autonomous consumption
B
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The Board of Governors of the Federal Reserve System has seven members appointed by the ________ that serve a term of ________ in order to ________
A) U.S. congress; 4 years; fulfill a mandate within the U.S. constitution B) U.S. senate; 14 years; provide continuity in the governing of the U.S. economy C) U.S. president and confirmed by the U.S. senate; 14 years; provide continuity in the governing of the U.S. economy D) U.S. president and confirmed by the U.S. congress; 14 years; provide continuity in the governing of the U.S. economy E) U.S. president and confirmed by the U.S. senate; 4 years; fulfill a mandate within the U.S. constitution
In the above figure, at point b on the demand curve, a price cut of one dollar will
A) increase total revenue. B) decrease total revenue. C) leave total revenue unchanged. D) have an indeterminate effect on total revenue.