Question: Q1: Open market operations change the ______; changes in the interest rate paid on reserves change the _________. A.money multiplier; monetary base. B.monetary base; reserve

Q1: Open market operations change the ______; changes in the interest rate paid on reserves change the _________.

  • A.money multiplier; monetary base.
  • B.monetary base; reserve requirements.
  • C.money multiplier; reserve requirements.
  • D.monetary base; money multiplier.

Q2:The quantity theory predicts that---over long time periods---countries with high money growth tend to have______ inflation.

  • A.high
  • B.low
  • C.constant
  • D.decreasing

Q3: The ex ante real interest rate is based on _______ inflation, while the ex post real interest rate is based on _______ inflation.

  • A.expected; core
  • B.actual; expected
  • C.expected; actual
  • D.core; actual

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