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Unit 4

Across
A share of stock is considered:
An increase in the demand for money would result from an ___ in the price level
Any form of spending other than consumption
An increase in expected future inflation drives up the NIR, leaving the expected IR unchanged.
Rates on financial assets that come due , or mature within less than a year.
Price determined by the ir, which we lbel witha small "r"s.
If the FED increases the discount rate the money supply is likely to ____
You label the money market graph with ___
Investment = _____
Interest rate actually paid for a loan.
Down
Rates on financial assets that come due, or mature a number of years into the future.
Nominal interest rate minus the rate of inflation.
You label the loanable funds graph with ___
What is the federal funds rate?
A Domino's Pizza store in Apple Valley has purchased a new pizza oven is an example of what?
Banks create money when they make ___
Crowding out negatively affects the economy by ____ investment spending on physical capital
A persuasive tactic used by an authority to influence and pressure but not force, banks to adhere to a policy.
Any allocation of income that is not directly spent.
The money multiplier and the required reserve ratio are ___related