Assuming the Central Bank Follows a Money Supply Target,then an Increase

Multiple Choice

Assuming the central bank follows a money supply target,then an increase in the demand for money

A) will shift the position of the LM schedule away from the predicted level even if the target level of the money supply is achieved.
B) will shift the position of the LM schedule toward the predicted level as long as the target level of the money supply is achieved.
C) may or may not shift the position of the LM schedule away from the predicted level even if the target level of the money supply is achieved.
D) None of the above