QUESTION 1 12.5 points Save Answer One important reason why the Great Recession and the COVID Recession were shorter than the Great Depression is A. housing prices did not increase as much before the Great Recession and the COVID Recession as before the Great Depression O B. proactive monetary and fiscal policy O C. the Federal Reserve did not exist until after the Great Depression D. macroeconomics was not established as the field of economics before the 1930s QUESTION 2 12.5 points Save Answer Which of the following statements about Bitcoin are correct? O A. Bitcoin is not issued by any central bank and therefore can be considered money O B. Bitcoin appreciated in value in recent years and can be used as a store of value; therefore it can be considered money O C. Bitcoin is accepted in most markets; therefore it can be considered money O D. Bitcoin's value fluctuates significantly over short time period; this undermines its ability to serve as money QUESTION 3 12.5 points Save Answer If nominal interest rate increased by 0.2 percentage points and inflation increased by 0.4 percentage points, then the real interest rate O A. increased by 0.2 percentage points O B. increased by 0.4 percentage points O C. decreased by 0.2 percentage points O D. decreased by 0.4 percentage points QUESTION A Click Save and Submit to save and submit. Click Save All Answers to save all answers. Save All Answers Save and SubmitQUESTION 4 12.5 points Save Answer Consider the model of money demand we saw in class. Let the elasticity of money demand with respect to real income be 0.8 and the elasticity of money demand with respect to the interest rate on non-monetary assets be 0.2. Imagine that real income goes up by 3%, the interest rate on non-monetary assets goes up by 1%, and the price level does not change. Then the nominal demand for money changes by percent. Note: Type in your answer rounded to two decimal places, i.e., your answer must be of the form \"999.99". I will not be able to x correct answers that were entered inconectly, such as \"999.999\" or \"999,99\" or "999\". In case the last digit in the correct answer is zero, e.g., \"999.90\" or \"999.00\QUESTION 7 Consider the model of money demand we saw in class. Let the elasticity of money demand with respect to real income be 0.8 and the elasticity of money demand with respect to the interest rate on non-monetary assets be -0.2. Imagine that real income increased by 2.75% and nominal interest rate on non-monetary assets increased by 0.2%. If the central bank wants ination to be at exactly 2%, it should increase money supply by percent. Note: Type in your answer rounded to two decimal places, i.e., your answer must be of the form '999.99". I will not be able to x correct answers that were entered incorrectly, such as \"999.999\" or "999,99\" or \"999". In case the last digit in the correct answer is zero, 6.9., \"999.90\" or \"999.00", Blackboard may automatically delete it and you should not do anything about it. In case of percentages, do not type in the percentage symbol "%". If your answer is a negative number, type a dash in front of your answer, i.e, \"-999.99". 12.5 points Save Answer QUESTION 8 Let the total amount of currency in the economy be $1,298.4 'Ilion, the total amount of commercial banks' reserves at the Fed be $2,621t2 billion, and the total amount of deposits be $10,647.9 billion. Then money multiplier in this eoonomy is . Note: Type in your answer rounded to two decimal places, i.e., your answer must be of the form \"999.99\". I will not be able to x correct answers that were entered incorrectly, such as "999,999" or \"999.99\" or "999". In case the last digit in the correct answer is zero, e.g., \"999.90\" or \"999.00\