"Since Checking Accounts Now Pay Interest They Should Not Be

question 12

Multiple Choice

"Since checking accounts now pay interest they should not be included in the money supply." Given that checks are the major medium of exchange,this statement is false because

• A)checking accounts are primarily used for savings in the current year.
• B)the interest rate on checking accounts is lower than on other accounts.
• C)the demand for real balances is negatively related to interest rates.
• D)money is money.

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Definitions:

Temperament Classification

A method of categorizing individuals based on their typical responses to the environment, including aspects such as mood, activity level, and emotional reactivity.

Easy

denotes something that can be achieved or understood with minimal effort or difficulty.

Difficult

Involving hard work, effort, or complexity that makes a task or situation challenging to execute or resolve.

Slow to Warm Up

Describes individuals, particularly children, who display a cautious approach to new experiences or people, taking longer to adapt or become comfortable.