Macro Chapter 10

Macro Chapter 10

University

20 Qs

quiz-placeholder

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Macro Chapter 10

Macro Chapter 10

Assessment

Quiz

Business

University

Practice Problem

Hard

Created by

Kenneth Kunkel

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20 questions

Show all answers

1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which of the following is NOT one of the three primary functions of money?

Medium of exchange

Store of value

Unit of account

Producer of goods

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the most liquid form of money in the money supply?

Savings accounts

Currency and coins

Money market funds

Certificates of deposit

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which institution is primarily responsible for regulating the money supply in the United States?

The World Bank

The Federal Reserve System

The Department of Treasury

The International Monetary Fund

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which of the following best describes the "store of value" function of money?

Money is used to compare prices

Money can be saved for future use

Money is used to buy goods

Money is used to pay taxes

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which component is included in the M1 measure of the money supply?

Savings deposits

Currency in circulation

Money market accounts

Large time deposits

6.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How does an increase in commercial bank lending affect the money supply?

It decreases the money supply

It increases the money supply

It leaves the money supply unchanged

It reduces the money multiplier

7.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which of the following is a responsibility of the Federal Reserve System?

Setting tax rates

Conducting monetary policy

Regulating imports

Managing the stock market

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