The Reason That Velocity Increases When Interest Rates Rise Is

question 129

Multiple Choice

The reason that velocity increases when interest rates rise is

• A)the Fed encourages banks to turn money in faster for recycling, which causes money to move faster.
• B)the opportunity cost of saving increases, so people hold smaller cash balances.
• C)home mortgage payments increase, so people write larger checks that reduces their checking account balances.
• D)the opportunity cost of holding money increases, so average money balances decrease.

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The healthcare provided for women during pregnancy to monitor fetal development and the health of the mother.

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Principles based on right and wrong behavior that guide ethical decision-making and conduct.

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The power or right to give orders, make decisions, and enforce obedience, often found within organizational or governmental structures.

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