Q.1.The ________ demand for money arises out of the need to hold money as a medium of exchange. This demand for money is a function of ________. (a) precautionary; interest rates (b) transactions; national income (c) speculative; interest rates (d) precautionary; national income
Good day . can you please assist on the following question below
Multiple-choice questions: Select one correct answer for each of the following
Q.1.The ________
medium of exchange. This demand for money is a function of ________.
(a) precautionary; interest rates
(b) transactions; national income
(c) speculative; interest rates
(d) precautionary; national income
Q.2. Which one of the following statements is NOT true?
(a) Money is the most liquid asset.
(b) Money is a store of value.
(c) Money is a unit of account.
(d) Money is another term for income.
Q.3. Which of the following will cause the demand curve for money to shift to the right?
(a) An increase in real
(b) A decrease in the repo rate.
(c) An increase in the quantity of money available.
(d) A decrease in the quantity of money available.
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