Solved

Figure 10-5 -Refer to Figure 10-5. What Could Have Caused the Money

Question 101

Multiple Choice

Figure 10-5 Figure 10-5 -Refer to Figure 10-5. What could have caused the money supply curve to shift from S<sub>1</sub> to S<sub>2</sub>? A) an open market purchase conducted by the Fed B) an open market sale conducted by the Fed C) an increase in tastes and preferences in favor of holding more money D) an increase in the reserve requirement ratio
-Refer to Figure 10-5. What could have caused the money supply curve to shift from S₁ to S₂?

A) an open market purchase conducted by the Fed
B) an open market sale conducted by the Fed
C) an increase in tastes and preferences in favor of holding more money
D) an increase in the reserve requirement ratio

Correct Answer: