The _______ demand for money is holding money in expectation that bond prices and the prices of other assets might change.

A) speculative
B) exchange
C) transactions
D) precautionary

Ans: A) speculative

Economics

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"When the Fed is concerned with an inflationary gap it buys government securities." Is the previous statement correct or incorrect? Explain your answer

What will be an ideal response?

Economics

In the specific factors model, the effects of trade on welfare are ________ for mobile factors, ________ for fixed factors used to produce the exported good, and ________ for fixed factors used to produce the imported good

A) ambiguous; positive; negative B) ambiguous; negative; positive C) positive; ambiguous; ambiguous D) negative; ambiguous; ambiguous E) positive; positive; positive

Economics