If There Is an Increase in the Money Supply, in the Short

question 247

Multiple Choice

If there is an increase in the money supply, in the short run

• A) the interest rises. It takes several weeks for spending to fully respond to this change.
• B) the interest rises. It takes several months for spending to fully respond to this change.
• C) the interest falls. It takes several weeks for spending to fully respond to this change.
• D) the interest falls. It takes several months for spending to fully respond to this change.

---

Definitions:

Stable

A condition or situation that is not likely to change or fail, typically referring to an economy, environment, or structure.

Sarbanes-Oxley Act

A U.S. law enacted in 2002 to protect investors by improving the accuracy and reliability of corporate disclosures made pursuant to the securities laws, and for other purposes.

Internal Whistle-blowing

The act of reporting misconduct, unethical or illegal activities within an organization to someone in a position of authority within the same organization.

Apathetic Culture

An organizational culture characterized by a general lack of interest, enthusiasm, or concern among its members.