Subject - Economics:

Macroeconomics

MCQ - 62-4072

Question:

Households demand more money as an asset when

nominal GDP falls.
the nominal interest rate falls.
bond prices fall.
the nominal interest rate falls.
nominal GDP increases.

Correct Answer: B

Explanation:

Asset demand for money is negatively related to the interest rate. Lower interest rates decrease the opportunity cost of holding money.

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269 MCQ for effective preparation of the test of Macroeconomics of Economics section.

Read the MCQ statement: Households demand more money as an asset when , keenly and apply the method you have learn through the video lessons for Macroeconomics to give the answer. Record your answer and check its correct answer and video explanation for MCQ No. 62-4072.

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Solve the question for MCQ No. and decide which option (A through D/E) is the best choice to answer the MCQ, then click/tap the blue button to view the correct answer and it explanation.

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