Multiple Choice

-Refer to Figure 13.4. If AD1 makes the inflation rate exceed the inflation target &61552;*, a tighter monetary policy ____ the interest rate and ________ the AD schedule ____.
A) raises, moves along, to the right
B) raises, shifts, to the left
C) lowers, moves along, to the left
D) lowers, shifts, to the right
Correct Answer:
Verified
Related Questions