The Demand for Money Varies

question 27

Multiple Choice

The demand for money varies

• A) directly with both the price level and the level of real GDP.
• B) inversely with both the price level and the level of real GDP.
• C) inversely with the price level and directly with the level of real GDP.
• D) directly with the price level and inversely with the level of real GDP.
• E) inversely with the level of nominal GDP.

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Definitions:

Stimulus Exemplars

Specific examples or instances of stimuli that are used to illustrate a general principle or concept in learning and conditioning.

Natural Settings

Environments where behavior occurs spontaneously, without artificial influence or intervention.

Generalization

The term most often used in the applied literature to describe behavior changes that occur in nontraining conditions.

Indiscriminable Contingencies

Situations where it is not clear to the individual what behavior is being reinforced because the reinforcement schedule is unpredictable, increasing the behavior's resistance to extinction.