1.2.3.Which expression describes the flattest money demand schedule?O a. 1=450-2(3)O b. 1=450-9(3)O c. L-5(200)-5(10)O d. L=5(200)-8(10)Which of the following will lead to an increase in the equilibrium interest rate in the money market?O a. Increase in general price levelO b. An increase in incomeO c. Decrease in general price leveld. The Central Bank increases money supplyWhich of the following statements describes the LM curve?O a. It has a negative slope.O b. It describes the relationship between supply and demand of goods.O c. It represents the combination of interest rate and income where the goods market is in equilibrium.O d. None of the above

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1. Which expression describes the flattest money demand schedule? O a. 1=450-2(3) O b. 1-450-9(3) O c. L=5(200)-5(10) O d. L=5(200)-8(10)

ENGR.ECONOMIC ANALYSIS

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Chapter1: Making Economics Decisions

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Question

1.
2.
3.
Which expression describes the flattest money demand schedule?
O a. 1=450-2(3)
O b. 1=450-9(3)
O c. L-5(200)-5(10)
O d. L=5(200)-8(10)
Which of the following will lead to an increase in the equilibrium interest rate in the money market?
O a. Increase in general price level
O b. An increase in income
O c. Decrease in general price level
d. The Central Bank increases money supply
Which of the following statements describes the LM curve?
O a. It has a negative slope.
O b. It describes the relationship between supply and demand of goods.
O c. It represents the combination of interest rate and income where the goods market is in equilibrium.
O d. None of the above

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