Refer to the information provided in Figure 11.5 below to answer the questions that follow. Figure 11.5
-Refer to Figure 11.5.If the money supply decreases from to ,

Question

Refer to the information provided in Figure 11.5 below to answer the questions that follow.  Figure 11.5
-Refer to Figure 11.5.If the money supply decreases from  to  ,

Quizplus · Accepted Answer

According to the graph, a decrease in money supply from 11eaaeef_9a6b_201d_933a_890d7bfa8939_TB2926_11 to 11eaaeef_9a6b_201e_933a_9f0987a415c1_TB2926_11 would cause an increase in the interest rate from 4% to 6% in order to reach equilibrium in the money market. Therefore, the correct choice is C.

Refer to the Information Provided in Figure 11