Which of the following will occur when the central bank pursues expansionary monetary policy?
A) A rightward shift in the money demand curve and a leftward shift in the money supply curve.
B) A rightward shift in the money demand curve and a rightward shift in the money supply curve.
C) A leftward shift in the money demand curve and a rightward shift in the money supply curve.
D) A leftward shift in the money demand curve and a leftward shift in the money supply curve.
E) None of the above.
Correct Answer:
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