If the economy is in a recessionary gap, the Federal Reserve should conduct mone

Question

If the economy is in a recessionary gap, the Federal Reserve should conduct monetary policy by the money supply. Money is anything that: The federal funds rate is: All of the following are roles of money EXCEPT: a unit of account. The fact that many stores in the United States have found it economical to accept credit cards has: increased the demand for money. Money is: any asset the government says is money. An increase in interest rates causes the demand for money to: When long-term interest rates are higher than short-term rates, as they were in 2010: it implies that short-term interest rates are expected to rise, it implies that inflation will fall. The major tools of monetary policy available to the Federal Reserve System include: the discount rate, margin regulations, and moral suasion, reserve requirements, margin regulations, and moral suasion. The opportunity cost of holding money is:

Explanation / Answer

CORRECT ANSWERS ARE HERE AS FOLLOWS:-

3. CURRENCY IN BANK'S VAULT
7. USES FOR THE DEMAND AND SUPPLY OF MONEY TO DETERMINE THE INTEREST RATE
10. ONE BANK WOULD PAY ANOTHER BANK FOR A LOAN
11. RESULT IN AN INCREASE IN THE MONEY MULTIPLIER FROM 5 TO 10
12. INCREASES THE MONEY SUPPLY,DECREASES THE INTEREST RATE,INCREASES MONEY CONSUMPTION AND INVESTMENT
15. INCREASE INVESTMENT

18. FIAT MONEY
19. NO CHANGES IN FINANCIAL INDUSTRY SINCE SUCH CRISIS ARE RARE
21. INTEREST RATE AND NOMINAL QUANTITY OF MONEY DEMANDED
25. THE TREASURY TO INDEPENDENTLY SOLVE THE PROBLEMS ,SINCE FED WAS UN WILLING TO HELP
26. CHANGING THE AGGREGATE AMOUNT OF LABOUR SUPPLIED
31. CURRENCY BACKED BY THE GOLD IN FORT KNOX
33. CURRENCY IN CIRCULATION,MONEY MARKET FUNDS,AND TRAVELLER'S CHECKS
34. THE DEMAND FOR MONEY FELL AND SHIFTED THE MONEY DEMAND CURVE TO THE LEFT
35. CONSUMER AND INVESTMENT SPENDING
36. INCREASE,INCREASE,RIGHT

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