In the Money Market, If the Nominal Interest Rate Is

question 195

Multiple Choice

In the money market, if the nominal interest rate is below the equilibrium level,

• A) the quantity of money demanded exceeds the quantity of money supplied.
• B) the quantity of money supplied exceeds the quantity of money demanded.
• C) asset prices will rise.
• D) the demand for money curve will shift leftward.
• E) the supply of money curve will shift leftward.

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