In 2007, Interest Rates in Germany Were 4

Multiple Choice

In 2007, interest rates in Germany were 4.7 percent while the inflation rate was 1.7 percent. In 2008, interest rates increased to 5.3 percent and the inflation rate increased to 2.0. As a result, there is

A) a rightward shift in Germanyʹs money supply curve.
B) a leftward shift in Germanyʹs demand for money curve.
C) an upward movement along Germanyʹs demand for money curve.
D) a downward movement along Germanyʹs demand for money curve.