Exhibit 15-6 -If the Federal Reserve Is Targeting the Money Supply When

question 27

Multiple Choice

Exhibit 15-6
-If the Federal Reserve is targeting the money supply when the demand for money decreases,their proper response is to

• A)decrease the money supply
• B)keep the money supply on a path of constant,predictable growth
• C)increase the money supply to match the increase in the demand for money
• D)stimulate inflation to increase the demand for money
• E)stimulate a decrease in the price level to increase the demand for money

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Definitions:

Withdrawal

A consequence of drug dependence that occurs when the drug is withheld, such that the person feels strong drug cravings and psychological and medical distress.

Cravings

Intense, urgent, or abnormal desires or longings, especially for food or substances.

Emotional Experiences

The internal personal feelings and reactions to events or thoughts, which can vary greatly in intensity and type.

Hallucinogen

A class of drugs that causes users to experience alterations in perception, mood, and thought, often inducing visions or perceptions of things that are not actually present.