If There Is an Excess Demand for Money in the Economy

question 131

Multiple Choice

If there is an excess demand for money in the economy,

• A) there is also an excess supply of money.
• B) there is also an excess demand for bonds.
• C) there is also an excess supply of bonds.
• D) the interest rate will fall.
• E) there is also an excess supply of housing.

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Definitions:

Secondary Appraisal

The process of evaluating one's ability to cope or manage the consequences of a potentially stressful event after initially assessing its significance.

Lazarus

Refers to the psychologist Richard Lazarus, known for his theory on emotion and stress which emphasizes the importance of cognitive appraisal.

Social Health

An individual's capacity to form satisfying interpersonal relationships with others and to adapt comfortably to different social situations.

Fight-or-Flight

A physiological response to perceived danger or threat, preparing the body to fight or flee from the threatening situation.