Question :
161.SupposethattheFederalreserveisconcernedabouttheeffectsoffallingstockpricesontheeconomy.Whatcoulditdo?
a.buybondstoraisetheinterestrate
b.buybondstolowertheinterestrate
c : 1262200
161.SupposethattheFederalreserveisconcernedabouttheeffectsoffallingstockpricesontheeconomy.Whatcoulditdo?
a.buybondstoraisetheinterestrate
b.buybondstolowertheinterestrate
c.sellbondstoraisetheinterestrate
d.sellbondstoraisetheinterestrate
162.WhentheFeddecreasesthemoneysupply,weexpect
a.interestratesandstockpricestorise.
b.interestratesandstockpricestofall.
c.interestratestoriseandstockpricestofall.
d.interestratestofallandstockpricestorise.
163.WhentheFedincreasesthemoneysupply,weexpect
a.interestratesandstockpricestorise.
b.interestratesandstockpricestofall.
c.interestratestoriseandstockpricestofall.
d.interestratestofallandstockpricestorise.
164.Changesintheinterestratehelpexplain
a.onlytheslopeof,notshiftsofaggregatedemand.
b.onlyshiftsof,nottheslopeofaggregatedemand.
c.boththeslopeofandshiftsofaggregatedemand.
d.neithertheslopenorshiftsofaggregatedemand.
165.Changesintheinterestrate
a.shiftaggregatedemandwhethertheyarecausedbychangesinthepricelevelorbychangesinfiscalormonetarypolicy.
b.shiftaggregatedemandiftheyarecausedbychangesinthepricelevel,butnotiftheyarecausedbychangesinfiscalormonetarypolicy.
c.shiftaggregatedemandiftheyarecausedbyfiscalormonetarypolicy,butnotiftheyarecausedbychangesinthepricelevel.
d.donotshiftaggregatedemand.
166.Becausetheliquidity-preferenceframeworkfocusesonthe
a.shortrun,itassumesthepriceleveladjuststobringthemoneymarkettoequilibrium.
b.shortrun,itassumestheinterestrateadjuststobringthemoneymarkettoequilibrium.
c.longrun,itassumesthepriceleveladjuststobringthemoneymarkettoequilibrium.
d.longrun,itassumestheinterestrateadjuststobringthemoneymarkettoequilibrium.
167.Accordingtothetheoryofliquiditypreference,iftheinterestraterises
a.peoplewanttoholdmoremoney.Thisresponseisshownbymovingtothe rightalongthemoneydemandcurve.
b.peoplewanttoholdmoremoney.Thisresponseisshownbyshiftingthemoneydemandcurveright.
c.peoplewanttoholdlessmoney.Thisresponseisshownbymovingtotheleftalongthemoneydemandcurve.
d.peoplewanttoholdlessmoney.Thisresponseisshownbyshiftingthemoneydemandcurveleft.
168.Accordingtothetheoryofliquiditypreference,ifoutputdecreases
a.peoplewanttoholdmoremoney.Thisresponseisshownasamovementalongthemoneydemandcurve.
b.peoplewanttoholdmoremoney.Thisresponseisshownasashiftofthemoneydemandcurve.
c.peoplewanttoholdlessmoney.Thisresponseisshownasamovementalongthemoneydemandcurve.
d.peoplewanttoholdlessmoney.Thisresponseisshownasashiftofthemoneydemandcurve.
169.IftheFederalReserveincreasesthemoneysupply,theninitiallythereisa
a.shortageinthemoneymarket,sopeoplewillwanttosellbonds.
b.shortageinthemoneymarket,sopeoplewillwanttobuybonds.
c.surplusinthemoneymarket,sopeoplewillwanttosellbonds.
d.surplusinthemoneymarket,sopeoplewillwanttobuybonds.
170.IftheFederalReservedecreasesthemoneysupply,theninitiallythereisa
a.shortageinthemoneymarket,sopeoplewillwanttosellbonds.
b.shortageinthemoneymarket,sopeoplewillwanttobuybonds.
c.surplusinthemoneymarket,sopeoplewillwanttosellbonds.
d.surplusinthemoneymarket,sopeoplewillwanttobuybonds.