Bob deposits $100 in a bank account that pays an annual interest rate of 5 percent. A year later, Bob withdraws his $105 . If inflation was 2 percent during the year the money was deposited, then Bob's purchasing power has increased by 3 percent

Which of the following decreases Money Demand?

a. Lower nominal interest rates. b. Higher nominal interest rates. c. A higher price level d. A lower price level

In Figure 29.1, the area that represents the total variable cost to the producer under monopoly is

A. OFCQPC. B. OPPCCQPC. C. OFEQmonopoly. D. OPmonopolyBQmonopoly.