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A Decrease in the Supply of Money Will Lead to A(n)

Question 123

Multiple Choice

A decrease in the supply of money will lead to a(n)


A) increase in equilibrium real GDP and an increase in the equilibrium interest rate.
B) increase in equilibrium real GDP and a decrease in the equilibrium interest rate.
C) decrease in equilibrium real GDP and an increase in the equilibrium interest rate.
D) decrease in equilibrium real GDP and a decrease in the equilibrium interest rate.

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