All of the Following Are True of Money Market Deposit

question 3

Multiple Choice

All of the following are true of money market deposit accounts (MMDA) except

• A)a minimum balance is required.
• B)the account pays higher interest.
• C)a limited number of checks may be written monthly.
• D)they are the same regardless of the depository institution offering them.

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Definitions:

Curve Shift

A movement of a demand or supply curve to the left or right, indicating a change in some economic factor other than price.

Exchange Rate

The price of one currency in terms of another, determining how much of one currency can be exchanged for another.

Net Exports

The value of a country's total exports minus its total imports; it represents the net amount of goods and services exported to other countries.

Net Capital Outflow

The differential between citizens buying foreign assets and non-citizens purchasing assets within the country.