Figure 16-4
-Refer to Figure 16-4. If the economy is at point a and the Bank of Canada pursues an expansionary monetary policy, then the economy will move to which of the following points in the short and long run?
A)point a in the short run and point b in the long run
B)point b in the short run and point a in the long run
C)point b in the short run and point c in the long run
D)point m in the short run and point h in the long run

Question

Figure 16-4 
-Refer to Figure 16-4. If the economy is at point a and the Bank of Canada pursues an expansionary monetary policy, then the economy will move to which of the following points in the short and long run?
A)point a in the short run and point b in the long run 
B)point b in the short run and point a in the long run 
C)point b in the short run and point c in the long run 
D)point m in the short run and point h in the long run

Quizplus · Accepted Answer

The Answer of Figure 16-4 
-Refer to Figure 16-4. If the economy is at point a and the Bank of Canada pursues an expansionary monetary policy, then the economy will move to which of the following points in the short and long run?
A)point a in the short run and point b in the long run 
B)point b in the short run and point a in the long run 
C)point b in the short run and point c in the long run 
D)point m in the short run and point h in the long run

Figure 16-4 -Refer to Figure 16-4. If the Economy Is at Point