Contractionary Monetary Policy,assuming Demand for the Currency Stays Constant,tends to Result

question 53

Multiple Choice

Contractionary monetary policy,assuming demand for the currency stays constant,tends to result in:

• A) a currency depreciation.
• B) a currency appreciation.
• C) no change in exchange rates.
• D) a change in only real,not nominal,exchange rates.

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Definitions:

Legal Consideration

Something of value, which can be a promise, service, or object, exchanged between parties as part of a contract.

Refrain From Alcohol

An advisory or mandate to abstain from consuming alcoholic beverages.

Consideration Requirement

The legal principle that a contract must involve a bargain or exchange of value between the parties to be enforceable.

Existing Contract

A legal agreement that is currently in place and governs a relationship between parties at the present time.