Which of the Following Will Result in the Money Market

question 74

Multiple Choice

Which of the following will result in the money market when the price level in an economy rises,while the supply of money remains unchanged?

• A)The demand for money will decrease.
• B)The supply of money will increase.
• C)The rate of interest will decrease.
• D)The total investment spending in the economy will increase.
• E)The rate of interest will increase.

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Definitions:

Merchant

A person or business that sells goods or services to consumers.

Consumer Goods

Products and services that are purchased or consumed by individuals or households for personal use.

Implied Warranty Of Fitness

An assurance, not explicitly stated, that the goods sold will be suitable for the purpose for which the buyer intends to use them.

Express Warranty

An explicit guarantee made by a seller about the condition, quality, or performance of a product, forming part of the contract of sale.