Adam Smith, Book 2, Ch. 4, Interest and Usury Practice Questions | Marginal Revolution University

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Practice Questions

Adam Smith, Book 2, Ch. 4, Interest and Usury Practice Questions

According to Smith, interest is ultimately regulated by the _______________________. *

a. government

b. productive yield of capital stock

c. neither a. nor b.

Smith argues that more money in the economy ________ prices but does not ultimately __________ interest rates. *

a. raises, lower

b. lowers, raise

c. raises, lower

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