FIGURE 27-3 Refer to Figure 27-3

question 85

Multiple Choice

FIGURE 27-3 Refer to Figure 27-3.Part (i) of the figure shows the money market and the effect of an increase in the supply of money.The corresponding sequence of events in the bond market is as follows: The ________ of money at i₀ leads firms and households to ________ bonds,which leads to a(n) ________ in the price of bonds and a decrease in the interest rate.

• A)excess demand; buy; increase
• B)excess demand; sell; decrease
• C)excess supply; buy; decrease
• D)excess supply; sell; decrease
• E)excess supply; buy; increase

---

Definitions:

Patronage

The support, encouragement, privilege, or financial aid that an organization or individual bestows to another.

Chinese Immigrants

Individuals from China who have migrated to another country, with significant waves occurring during the 19th and early 20th centuries, often facing various challenges and discrimination.

Transcontinental Railroad

First line across the continent from Omaha, Nebraska, to Sacramento, California, established in 1869 with the linkage of the Union Pacific and Central Pacific railroads at Promontory, Utah.

Assimilation Levels

describe the degree to which a minority group has adopted the cultural norms and values of the dominant society.