If,at Some Interest Rate,the Quantity of Money Supplied Is Less

question 180

Multiple Choice

If,at some interest rate,the quantity of money supplied is less than the quantity of money demanded,people will desire to

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

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Definitions:

Reinforcement

In behaviorism, a consequence that increases the likelihood of a behavior being repeated.

Fixed-ratio

A schedule of reinforcement where a response is only rewarded after a specified number of responses, leading to high and steady response rates.

Variable-ratio

A schedule of reinforcement where a response is rewarded after an unpredictable number of responses, making it highly effective in maintaining behavior.

Fixed-interval

A term in operant conditioning referring to a schedule of reinforcement where a response is rewarded only after a specified amount of time has passed.