Money & Bank MCQ MB Chapter 5 When the expected inflation rate increases, the demand for bonds ________, the supply of bonds ________, and the interest rate ________, everything else held constant.

When the expected inflation rate increases, the demand for bonds , the supply of bonds , and the interest rate , everything else held constant.

MB Chapter 5

When the expected inflation rate increases, the demand for bonds , the supply of bonds , and the interest rate , everything else held constant.

A) increases; increases; rises
B) decreases; decreases; falls
C) increases; decreases; falls
D) decreases; increases; rises

Answer: D

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Money & Bank MCQ

When the expected inflation rate increases, the demand for bonds ________, the supply of bonds ________, and the interest rate ________, everything else held constant.

When the expected inflation rate increases, the demand for bonds ________, the supply of bonds ________, and the interest rate ________, everything else held constant.

Learn More :

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When the expected inflation rate increases, the demand for bonds , the supply of bonds , and the interest rate , everything else held constant.

When the expected inflation rate increases, the demand for bonds , the supply of bonds , and the interest rate , everything else held constant.