If at Some Interest Rate the Quantity of Money Demanded

question 97

Multiple Choice

If at some interest rate the quantity of money demanded is greater than the quantity of money supplied, what will people desire to do and what will happen to the interest rate?

• A) People will sell interest-bearing assets, causing the interest rate to decrease.
• B) People will sell interest-bearing assets, causing the interest rate to increase.
• C) People will buy interest-bearing assets, causing the interest rate to decrease.
• D) People will buy interest-bearing assets, causing the interest rate to increase.

---

Definitions:

Population

a group of individuals of the same species living in the same geographic area at the same time, capable of interbreeding.

Theoretical Perspectives

Frameworks or lenses through which scientists and researchers view, analyze, and interpret phenomena within a field of study.

Aggressive Behavior

Actions that are hostile or violent in nature, aimed at causing harm or exerting dominance.

Counseling

A professional guidance process in which an individual receives support and advice to resolve personal, social, or psychological problems and difficulties.