The demand for money is determined by
A) the behaviour of the government.
B) the behaviour of the chartered banks.
C) the behaviour of the Bank of Canada.
D) the behaviour of the consumer and the firm.
E) the behaviour of the private sector.
Correct Answer:
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Q16: The quantity of money in circulation is
Q17: Use of money to save up for
Q18: Fiat money is
A) commodity money.
B) commodity-based paper
Q19: In formulating its monetary policy,the Bank of
Q20: The double coincidence of wants problem is
Q22: The real interest rate is approximately equal
Q23: If R > q,then
A) the marginal benefit
Q24: The nominal money demand is defined as
A)
Q25: The real return on bonds is
A) R.
B)
Q26: If R < q,then
A) the marginal cost
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