If the Fed Pursues Expansionary Monetary Policy Then

question 43

Multiple Choice

If the Fed pursues expansionary monetary policy then

• A)the money supply will decrease,interest rates will rise and GDP will fall.
• B)the money supply will decrease,interest rates will fall and GDP will fall.
• C)the money supply will increase,interest rates will rise and GDP will rise.
• D)the money supply will increase,interest rates will fall and GDP will rise.

---

Definitions:

Drug Therapy

The use of psychotropic drugs to reduce the symptoms of psychological disorders.

Brain Stimulation

Interventions that directly or indirectly stimulate the brain in order to bring about psychological improvement.

Electroconvulsive Therapy

A psychiatric treatment in which seizures are electrically induced in patients to relieve severe mental disorders.

ECT

Electroconvulsive Therapy, a medical treatment most commonly used for severe depression which involves inducing seizures in anesthetized patients through electrical currents.