Multiple Choice
FIGURE 27-2
-Refer to Figure 27-2. Starting at equilibrium E0, an increase in real GDP will lead to a
A) shift of the MS curve to the left and an increase in the interest rate.
B) shift of the MS curve to the right and a fall in the interest rate.
C) downward movement along the MD curve and a lower interest rate.
D) shift of the MD curve to the left and a fall in the interest rate.
E) shift of the MD curve to the right and an increase in the interest rate.
Correct Answer:
Verified
Related Questions