The primary objective of the European Central Bank is to keep inflation ___
Low
High
The other answers are correct
The ___ has the exclusive right to authorize the issuance of European banknotes
Eurosystem
European Central Bank
European System of Central Banks
Commercial banks ___ operations consist of lending money
Passive
Active
The other answers are correct
Deposits are among the ___ operations of commercial banks
The other answers are correct
Active
Passive
The ___ are commercial paper
Bills of exchange
Promissory notes
The other answers are correct
The secondary market is also known as ___
Aftermarket
Beforemarket
Backwardmarket
The exact price of a share gives an ___ allocation of external financing if debt or institutional loans are offered
Efficient
Inefficient
The other answers are correct
A policy is called ___ if it reduces the size of the money supply
Expansive
Restrictive
Neutral
Monetary policiy is described as ___ if it is neither intended to create growth nor combat inflation
Accomodative
Restrictive
Neutral
If wages are in fact lower ___
The other answers are correct
There isn't demand inflation
There isn't cost inflation
Monetary policy, for many centuries, was generally in the hands of the authorities with the power of ___
Mint
The other answers are correct
Issue of currency
One of the monetary policy goals was to ___ notes that would trade alongside coins
Collapse
Print
The other answers are correct
During the period ___ the industrialized nations established a central bank system
1920-1929
1929-1939
1870-1920
When central banking systems were established, it was recognized that interest rates ___ an effect on the entire economy
Had
Didn't have
The other answers are correct
Monetarist macroeconomists have sometimes advocated a simple growth of the money supply at a ___ and constant rate as the best way to keep inflation low and economic growth stable
High
Low
The other answers are correct
Some economists see another problem with our current monetary policy. The problem for them isn't that our money doesn't have anything physical to define its value, but that the fact of not having physical support has led to the ___ of money and credit
Contraction
Expansion
The other answers are correct
The first way in which the central bank can affect the monetary base is through ___ market operations or sales and purchases of second-hand public debt
The other answers are correct
Closed
Open
A central bank can only operate a truly independent monetary policy when the exchange rate is ___
Floating
Fixed
The other answers are correct
In the ___, many economists began to believe that making the central bank of a nation independend from the rest of the executive government is the best way to ensure optimal monetary policy, and those central banks that didn't have independence began to achive it
1960s
1980s
1970s
A central conjecture of Keynesin economists is that the central bank can stimulate aggregate demand in the ___ run
The other answers are correct
Long
Short
Often the monetary authority in a developing country ___ independent of the government
Isn't
The other answers are correct
Is
If financial institution lend at ___ interes rates, families will ask for money, increasing demand, to buy goods and services, and prices may raise if supply doen't increase in the same proportion, generating inflation (if it's a generalized phenomenon)
High
Low
The other answers are correct
The ___ target is similar to the inflation target except that the growth of the Consumer Price Index in one year is offset in subsequent years, such that, for a time, the price level, as a whole, doesn't change
Devaluation
Deflation
Price leve
The approach based on constant growth in the money supply is also sometimes called ___
Monetarism
Marxism
Keynesianism
With the gold standard, the price of gold could be seen as a special kind of "___"