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-An Increase in the Money Supply Will Tend To

Question 3

Multiple Choice

-An increase in the money supply will tend to: A) lower the interest rate and lower equilibrium real output B) lower the interest rate and increase equilibrium real output C) increase the interest rate and increase equilibrium real output D) increase the interest rate and lower equilibrium real output E) keep the interest rate and equilibrium real output the same
-An increase in the money supply will tend to:


A) lower the interest rate and lower equilibrium real output
B) lower the interest rate and increase equilibrium real output
C) increase the interest rate and increase equilibrium real output
D) increase the interest rate and lower equilibrium real output
E) keep the interest rate and equilibrium real output the same

Correct Answer:

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