According to the Keynesian transmission process,what effect will an increase in the money supply have?
A) An increase in the interest rate,an increase in investment spending,and an increase in GDP.
B) An increase in the interest rate,an increase in investment spending,and a decrease in GDP.
C) An increase in the interest rate,a decrease in investment spending,and a decrease in GDP.
D) A decrease in the interest rate,an increase in investment spending,and an increase in GDP.
E) A decrease in the interest rate,a decrease in investment spending,and a decrease in GDP.
Correct Answer:
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