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When the Federal Reserve Acts to Tighten Money and Credit

Question 48

Multiple Choice

When the Federal Reserve acts to tighten money and credit in the economy, then the aggregate:


A) demand curve will shift to the right.
B) demand curve will shift to the left.
C) supply curve will shift to the left.
D) demand curve will stay the same but there will be a movement along the existing demand curve.

Correct Answer:

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