Bob Read a Newspaper Story That Indicated a Dramatic Increase

question 39

Multiple Choice

Bob read a newspaper story that indicated a dramatic increase in money market accounts and certificates of deposit during the last three months. The story reported that all other major components of the U.S. money supply remained unchanged. Based on this information, Bob can conclude that for the past quarter:

• A)Both the M-1 and M-2 money supplies were stable.
• B)The M-1 money supply has increased, but the M-2 money supply was stable.
• C)The M-2 money supply has increased, but the M-1 money supply was stable.
• D)Both the M-1 and the M-2 money supplies have increased.

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Definitions:

Right Hemisphere

The half of the brain that is typically associated with creative thinking, spatial ability, and the processing of visual and auditory information.

Mental Module

A concept in cognitive science that suggests the mind consists of innate, self-contained units responsible for particular cognitive functions.

Nonverbal Actions

Communication methods not involving words, such as gestures, facial expressions, and body language, conveying messages and emotions.

Social Judgment

The process by which people make evaluations or judgments about other people, events, or ideas based on social and cultural norms.