QUESTION 10 Consider the following {all of these are in Australia}: |. A household's $500 deposit in credit unions. ||. A household's saving of $5013 in a 3year term deposit account. Which of the following statements is correct? 0 Onlyr | is in M1; only | is in M3. 0 Only | is in M1; both | and II are in M3. 0 Both | and II are in M1; both are in M3. 0 Neither I nor II is in M1; both are in M3. QUESTION 18 Australia is a major iron ore exporter. An increase in iron ore price will Australian dollar against other currencies. 0 increase demand for an appreciation 0 increase supply of... a depreciation 0 decrease demand for an appreciation 0 decrease supply of... a depreciation the Australian dollar, leading to of QUESTION 7 Which of the following will shift the shortrun aggregate supply (SRAS) to the left? 0 A higher actual inflation rate. Q A lower expected inflation rate. D An energy crisis increasing the cost of production. 0 All of the above. QUESTION 8 Which of the following is NOT a reason why the aggregate demand {AD} is downwardsloping? 0 Higher inflation reduces households' real income, leading to lower consumption. 0 Higher ination leads to higher nominal interest rate, leading to lower investment. 0 Higher inflation increases money supply, leading to lower government transfers. O Higher inflation makes foreign products cheaper, leading to higher import