Something That Affects the Amount of Money in Existence Will

question 87

Multiple Choice

Something that affects the amount of money in existence will

• A) have no particular effect.
• B) not affect the economy as a whole but may affect certain key markets such as the market for loans.
• C) have an effect only if the change in money is large.
• D) affect all markets.

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Definitions:

Short Run

In economics, a period during which at least one of a firm's inputs is fixed, limiting the firm's capacity to adjust to changes in demand.

Economic Profit

The total revenue minus explicit and implicit costs, representing the additional gain beyond breaking even.

Weekly

Pertaining to, happening once every week or pertaining to a week.

Market Price

The price of a good or service determined by the supply and demand conditions in a competitive marketplace, reflecting what consumers are willing to pay and sellers accept.