Which of the following is the objective of expansionary monetary policy? An increase in the velocity of money, An increase in employment An increase in prices proportional to the rise in the money supply. A decrease in employment. Question 20 1 pts If at the prevailing interest rate the quantity of money demanded is $2 trillion, and the supply of money is $1.5 trillion, then which of the following is true? There is a surplus of money, and consequently interest rates must fall in order to achieve an equilibrium in the money market There is shortage of money, and consequently interest rates must rise in order to achieve an equilibrium in the money market There is a surplus of money, and consequently interest rates must rise in order to achieve an equilibrium in the money market There is a shortage of money, and consequently interest rates must fall in order to achieve an equilibrium in the money market Question 21 1 pts