An Increase in the Supply of Money Will

question 52

Multiple Choice

An increase in the supply of money will:

• A) reduce the rate of interest and, thereby, trigger an increase in current spending by households and businesses.
• B) reduce aggregate demand and real output.
• C) increase only the general level of prices.
• D) lead to a higher rate of unemployment.

---

Definitions:

Selling

The act of persuading someone to buy a product or service.

Preparation

The action or process of making ready or being made ready for use or consideration.

Follow-Up

The act of maintaining contact with a potential or current customer after an initial meeting, presentation, or sale, to ensure satisfaction and encourage repeat business.