Contractionary monetary policy:
A) lowers interest rates, causing aggregate demand to shift to the right.
B) lowers interest rates, causing aggregate demand to shift to the left.
C) raises interest rates, causing aggregate demand to shift to the right.
D) raises interest rates, causing aggregate demand to shift to the left.
E) lowers interest rates, causing short-run aggregate supply to shift to the right.
Correct Answer:
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