In a graph where the interest rate is on the y- axis and the quantity of money is on the x- axis, a money supply curve that is drawn as a vertical line implies that:

Name: In a graph where the interest rate is on the y- axis and the quantity of money is on the x- axis, a money supply curve that is drawn as a vertical line implies that:
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Question

Quizplus · Accepted Answer

A vertical money supply curve indicates that the money supply is fixed and does not change with the interest rate, meaning it is independent of the interest rate.

In a Graph Where the Interest Rate Is on the Y-