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Chapter 11 Review Flashcards | StudBud
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Chapter 11 Review
Chapter 11 Review
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Flashcards
6 cards
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Practice quiz
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Questions
6
Answers
1
Which one is larger? M1 or M2?
M1
M2
It depends
They are the same size
2
_________ refers to how quickly, easily, and reliably an asset can be converted into cash.
cashable
monitizable
convertable
liquidity
3
The government lowers regulations on investment. What happens to the Demand for loanable funds?
demand stays the same
demand decreases
demand increases, decreases, or stays the same
demand increases
4
Which of the following is
not
included in M1?
cash
currancy
mutual funds
checkable deposits
5
If the government increases incentives to save, what happens to the supply of loanable funds?
supply increases, decreases, or stays the same
supply is the same
supply increases
supply decreases
6
Which of the following is
not
a function of money?
Medium of Exchange
Unit of Account
Standard of Value
Store of Value
