Multiple Choice
Use the following to answer questions .
Exhibit: Effects of Monetary Policy
-(Exhibit: Effects of Monetary Policy) If a nonintervention policy were adopted in Panel (a) ,
A) the aggregate demand curve would have eventually shifted as shown.
B) the short-run aggregate supply curve would have eventually shifted to the left and restored full employment.
C) the short-run aggregate supply curve would have eventually shifted to the right and restored full employment.
D) both the aggregate demand curve and the short-run aggregate supply curve would have eventually shifted to the left.
Correct Answer:

Verified
Correct Answer:
Verified
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