As the LM curve becomes steeper,an unexpected decrease in consumer confidence
A)will cause a relatively large increase in output and relatively large increase in the interest rate.
B)will cause a relatively small increase in output and relatively small increase in the interest rate.
C)is more likely to cause stock prices to rise.
D)is more likely to cause stock prices to fall.

Question

Quizplus · Accepted Answer

The Answer of As the LM curve becomes steeper,an unexpected decrease in consumer confidence
A)will cause a relatively large increase in output and relatively large increase in the interest rate.
B)will cause a relatively small increase in output and relatively small increase in the interest rate.
C)is more likely to cause stock prices to rise.
D)is more likely to cause stock prices to fall.

As the LM Curve Becomes Steeper,an Unexpected Decrease in Consumer