Which of the Following Statements Is True

question 25

Multiple Choice

Which of the following statements is true?

• A) The demand curve for money balances represents a direct relationship between the quantity demanded of money balances and the price of holding money balances.
• B) In the United States,the position of the money supply curve is determined exclusively by the Fed.
• C) The "money market" discussed in this chapter refers to the market for short-term securities.
• D) If,at a given interest rate,individuals want to hold less money than is supplied,this will put downward pressure on the interest rate.
• E) none of the above

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Definitions:

President Clinton

The 42nd President of the United States, in office from 1993 to 2001, known for his policies on the economy and welfare reform.

Cognitive Component

The aspect of attitude that involves beliefs, thoughts, and attributes about a subject.

Affective

Relating to moods, feelings, and attitudes; it denotes the emotional aspect of consciousness.

Behavioral

Pertaining to the actions or reactions of a person or animal in response to external or internal stimuli.