Refer to the diagrams. Other things equal, an interest rate reduction coupled with a rightward shift in curve A will
A) shift curve B upward.
B) shift curve B downward.
C) have no effect on curve B.
D) reduce GDP.

Name: Refer to the diagrams. Other things equal, an interest rate reduction coupled with a rightward shift in curve A will A) shift curve B upward. B) shift curve B downward. C) have no effect on curve B. D) reduce GDP.
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Question

Refer to the diagrams. Other things equal, an interest rate reduction coupled with a rightward shift in curve A will
A) shift curve B upward. 
B) shift curve B downward. 
C) have no effect on curve B. 
D) reduce GDP.

Quizplus · Accepted Answer

The Answer is A

Refer to the Diagrams