As a result of financial deregulation
A) the IS curve became flatter and the LM curve became steeper,with the result that the interest rate became more volatile.
B) the IS curve became steeper and the LM curve became flatter,with the result that the interest rate became more volatile.
C) both the IS curve and the LM curve became steeper,with the result that the interest rate became more volatile.
D) both the IS curve and the LM curve became flatter,with the result that the interest rate became more volatile.
Correct Answer:
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