Nthe early 1980s, new legislation allowed banks to pay interest on checking deposits, which they could not do previously. if we define money to include checking deposits, this legislation money demand. which of the following is true if the federal reserve had maintained a constant money supply in the face of this change? check all that apply. the interest rate would have decreased. aggregate output would have increased. aggregate demand would have decreased.

Anew japanese restaurant opens two blocks from your home. the owner, reiko, is a personal friend of yours. you don't particularly like japanese food, but you decide to go anyway; however, there is nothing on the menu that sounds appealing. unfortunately, it turns out that most of the people in your town don't like japanese cuisine either. reiko confides that business is not good, but she isn't sure what to do from an economic standpoint. which of the following would most likely describe adam smith's perspective on this problem? select one: a. reiko should ask the government for assistance. b. reiko should close the restaurant and find a different career. c. reiko should lay off workers and do everything herself to save money. d. reiko should add other foods to the menu and offer discounts to attract more people to her restaurant.