One Factor Contributing to the Increased Instability of Money Demand

question 59

Multiple Choice

One factor contributing to the increased instability of money demand is:

• A)targeting the federal funds rate.
• B)the increased instability of the monetary base.
• C)the existence of near monies.
• D)more frequent open-market purchases.

Calculate the standard error of the mean based on the population standard deviation and sample size.

Calculate and interpret the observed z value given a sample mean, population average, and standard error.

Identify the meaning of symbols and terminology used in statistical formulas (e.g., n, μ, σ, z).

Understand the criteria for using one-sample t-tests and Z-tests.

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Definitions:

Herzberg's Theory

A motivation theory which suggests that there are certain factors that cause job satisfaction while a separate set of factors cause dissatisfaction, famously divided into 'hygiene' and 'motivator' factors.

Higher-Order Needs

These are advanced human needs as outlined in Maslow's hierarchy, including esteem and self-actualization needs, which are fulfilled after basic physical and security needs.

Negative Instrumentality

The perception that effort will not lead to the desired performance or reward outcomes.

Expectancy Theory

A hypothesis in motivational theory stating that the strength of an individual's motivation to perform a particular action is determined by their expectation that the action will lead to a specific outcome and the value they place on that outcome.