A decrease in the quantity of money supplied shifts the money supply curve to the ________,and the equilibrium interest rate ________,everything else held constant.
A)right;falls
B)right;rises
C)left;falls
D)left;rises

Question

Quizplus · Accepted Answer

A decrease in the quantity of money supplied shifts the money supply curve to the left, leading to a higher equilibrium interest rate as the supply of money becomes more scarce relative to demand.

A Decrease in the Quantity of Money Supplied Shifts the Money