If advertising by term deposit funds began to lure money from current account deposits, and the RBA controls M1, then:
A) the IS curve would shift leftward.
B) the LM curve would shift upward.
C) the IS curve would shift rightward.
D) the LM curve would shift downward.
E) the IS curve would shift rightward and the LM curve would shift downward.
Correct Answer:
Verified
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