MCQ Hive stays free thanks to ads. Please disable your ad blocker for this site so content and features keep working.
Economics Mcqs
Q
When supply and demand for money are expressed in a graph with the interest rate on the vertical axis and the quantity of money on the horizontal axis an increase in the price level ?
AA. Shifts money demand to the right and increases the interest rate
BB. None of these answers
CC. Shifts money demand to the right and decreases the interest rate
DD. Shifts money demand to the left and increases the interest rate
Correct Answer:
A. A. Shifts money demand to the right and increases the interest rate