Everything Else Held Constant,an Increase in the Time Deposit Ratio

question 7

Multiple Choice

Everything else held constant,an increase in the time deposit ratio will mean ________ in the M2 money multiplier and ________ in the M2 money supply.

• A)an increase;an increase
• B)an increase;a decrease
• C)a decrease;an increase
• D)a decrease;a decrease

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Definitions:

Asking Questions

The act of posing inquiries or seeking information through verbal or written interrogation.

Negative Reinforcement

A behavioral psychology concept where the removal or avoidance of an unpleasant stimulus strengthens a behavior or makes it more likely to occur.

Punishment by Removal

Punishment by Removal involves decreasing the likelihood of a behavior by removing a desirable stimulus or positive condition following the behavior.

Punishment by Application

A behavioral control technique involving the introduction of an adverse stimulus following an undesired behavior, aiming to decrease that behavior's occurrence.