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Figure 18-6 -Refer to Figure 18-6.In the Dynamic Model of AD-AS in Model

Question 98

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Figure 18-6
Figure 18-6 -Refer to Figure 18-6.In the dynamic model of AD-AS in the figure above,if the economy is at point A in year 1 and is expected to go to point B in year 2,Congress and the president would most likely A) increase the money supply and decrease the interest rate. B) increase taxes. C) increase government spending. D) increase oil prices. E) raise interest rates.
-Refer to Figure 18-6.In the dynamic model of AD-AS in the figure above,if the economy is at point A in year 1 and is expected to go to point B in year 2,Congress and the president would most likely


A) increase the money supply and decrease the interest rate.
B) increase taxes.
C) increase government spending.
D) increase oil prices.
E) raise interest rates.

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