A. decrease the money supply

B. decrease the demand for money

C. increase the demand for money

A. The interest rate the European Central Bank pays on reserves

B. He interests rate banks pay on the publics deposits

D. The interest rate at Which commercial banks lend to and borrow from each other

E. The interest rates the public pays when borrowing from banks

B. commodity money

C. barter money

D. currency value

B. the money and labor markets

C. the goods and labor markets

D. the goods market

A. Rs 10,00

C. Rs 1,000

D. Rs 9,000

A. is used exclusively in the economies of western Europe and north America

C. has no intrinsic value

D. is used as reserves to back fiat money

A. imports

C. overseas investment

D. incomes

A. unit of account

C. Store of value

D. Medium of exchange

A. both monetary and fiscal policy are ineffective

B. monetary policy is effective but fiscal policy is ineffective

D. both monetary and fiscal policy are effective

A. fall

B. not change

D. None of these

B. All of the above

C. The value of all coins and currency in circulation at any time

D. The same as income

A. money market for the given value of aggregate output

B. goods market for the given level of government spending

D. money market for the given level of the money supply

A. increase , increase

B. reduction, reduction

D. reduction, increase

A. a change in the real money supply

C. a change in real income

D. a change in competition in the banking industry

A. Unstable

B. Smaller

C. Unchanged

A. precious metals

B. barter items

C. commodity money

A. retail deposits, wholesale deposits

B. retail sight deposits building society deposits

C. bank deposits, building society deposits

B. The time of year bank opening hours the price level

C. The proportion of weekly paid employees the time of year real income

D. bank opening hours, the proportion of weekly paid employees interest rates

A. gold

C. Silver coins

D. cigarettes

A. the rate at which current consumption can be exchanged for future consumption

B. the price of borrowing money

D. the return on money that is saved for the future

B. financial intermediation

C. Financial regulation

D. lender of less resort

A. contractionary fiscal policy

C. expansionary fiscal policy

D. contractionary monetary policy

A. a positive relationship between the interest rate and the quantity of money demanded

B. a negative relationship between the price level and the quantity of money demanded

C. a negative relationship between the level of aggregate output and the quantity of money demanded

A. the inflation rates

B. the level of aggregate output

D. the discount rates

A. aggregate demand curve

B. aggregate supply curve

C. IS curve

A. An increase in the interest rate

C. A decrease in the price level

D. An increase in the supply of money

A. A debit card is not really money because it is only a means of transferring money between accounts

B. In a complex economy it is not easy to draw a clear dividing line between assets that should be considered as money and those that should not

C. Wealth held in the current account you hold with your bank is almost as convenient for buying things as wealth held in your wallet so the wealth in current accounts should be included in measures of money

A. money demand increases the interest rate decreases planned investment increases aggregate output increases and money demand increases

B. money supply increases the interest rate increase planned investment increases aggregate output increases and money demand increases

D. aggregate output increases the demand for money increase the interest rate increase planned investment

A. All of these will increase the money supply

B. Increasing reserve requirements

C. Increasing the refinancing rate

A. be unchanged

B. rise by less than the amount of the deposit

C. fall by exactly the amount of the deposit as long as the bank does not change its reserve ratio

E. fall by exactly the amount of the deposit as long as the bank does not change its reserve ratio

A. be reduced

B. fall to zero

C. not be affected

A. Provide notes and coins for trade

C. Provide a cheque clearing system

D. Control the money supply

A. fiat, commodity and deposit money

C. The money supply, government purchases and taxation

D. Government expenditures taxation and reserve requirements

E. Coin, currency and demand deposits

A. rise, falls, increase

B. rise, increase, falls

D. rise; increase, increase

B. How much cash do you wish you could have?

C. How much wealth would you like?

D. How much income would you like to earn?

A. Suffer even more

B. be replaced by consumer spending

D. be replaced by foreign investment

A. Issuing new bonds to finance the PSBR.

B. Loaning money to other countries that are friendly to the UK.

D. Auditing the various agencies and department of the government

A. issuing debit cards

B. printing it

C. accepting cheques

A. money market for the given level of the money supply

C. goods market for the given interest rate

D. goods market for the given level of government spending

A. The short-term interest rate at which the economys commercial banks lend to and borrow from each other will fall and the central bank may be expected to reduce the supply of liquidity to the banks

C. The banks will increase their lending

D. the long-term interest rate in the economy will rise and the central bank will raise its interest rate in response

E. The short-term interest rate at which the economys commercial banks lend to and borrow from each other will rise and the long-term interest rate may be expected to rise as a result

A. assets

B. loans

D. government bonds

A. Automatic-transfer savings accounts

C. Travelers checks

D. Currency held outside banks

B. Decrease the money supply because it is now cheaper for banks to borrow from the central bank instead instead of buying government securities

C. decrease the money supply because it will now be more expensive for business firms and consumers to borrow money

D. increase the money supply because it is now cheaper for banks to borrow from the central bank

A. the goods and labor markets.

B. the money markets

D. the money and labor market

A. narrow, banks, building societies

B. wide, banks insurance companies

C. Narrow, banks insurance companies

B. An increase in the level of aggregate output

C. A sale of government securities by the central bank

D. An increase in the discount rate

A. money supply curve

C. money demand curve

D. IS curve

A. Rs 1,000

B. Rs 0

C. Rs 4,000

A. required reserve ratio

C. profit margin

D. net worth

A. have no effect on

B. increase

C. double