Econ Chapter 31 Questions

The total demand for money curve will shift to the right as a result of

an increase in the nominal GDP

Checkable deposits are:

included in M1 and M2

Which of the following is not part of the M2 money supply

large ($100,000 or more) time deposits

The transactions demand for money is most closely related to money functioning as a:

medium of exchange

If you place a part of your summer earnings in a savings account, you are using money primarily as a:

store of value

If you are estimating your total expenses for school next semester, you are using money primarily as:

unit of account

Stock market price quotations best exemplify money serving as a:

unit of account

The opportunity cost of holding money

varies directly with the interest rate

The group that sets the Federal Reserve Systems policy on buying and selling government securities (bills, notes, and bonds) is the:

Federal Open Market Committee (FOMC)

The paper money used in the United States is:

Federal Reserve Notes