In Terms of the AD-AS Model, the New Classical Approach

Multiple Choice

In terms of the AD-AS model, the new classical approach indicates that an unexpected decrease in the money supply will affect output because it will cause

A) the SRAS curve to shift down, whereas the AD curve will be unaffected.
B) the SRAS curve to shift up, whereas the AD curve will be unaffected.
C) the AD curve to shift to the left, whereas the SRAS curve will be unaffected.
D) the AD curve to shift to the right, whereas the SRAS curve will be unaffected.