Everything else held constant, an increase in the price level causes the demand for money to _____ and short-term nominal interest rate to _______. Select one: decrease; decrease decrease; increase increase; increase increase; decrease The term structure of interest rates refers to the relationship among the interest rates on bonds that have the same characteristics but different maturities. Select one: True False According to the expectation theory of the term structure, a flat yield curve indicates that Select one: short-term interest rates are expected to decline moderately in the future. short-term interest rates are expected to decline sharply in the future. short-term interest rates are expected to rise in the future. short-term interest rates are expected to remain unchanged in the future. According to the Gordon growth model, which of the following can cause the value of a stock to decline? Select one: increased idiosyncratic risk lower risk-free interest rate higher expected growth rate of dividends decreased required return on equity