Multiple Choice
Figure 10-3 
-Refer to Figure 10-3. If the rate of interest is below the equilibrium rate, there will be
A) an excess demand for money and the interest rate will rise.
B) an excess supply of money and the interest rate will fall.
C) an excess demand for money and the interest rate will fall.
D) an excess supply of money and the interest rate will rise.
Correct Answer:
Verified
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