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Refer to the Following Figure to Answer the Next Questions

Question 75

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Refer to the following figure to answer the next questions.
Refer to the following figure to answer the next questions. -According to the figure, if the economy started at full-employment output, contractionary monetary policy would cause real gross domestic product (GDP) to ________ in the short run. A) increase from Y<sub>1</sub> to Y<sub>2</sub> B) increase from Y<sub>1</sub> to Y<sub>3</sub> C) decrease from Y<sub>2</sub> to Y<sub>1</sub> D) decrease from Y<sub>3</sub> to Y<sub>2</sub> E) increase from Y<sub>2</sub> to Y<sub>3</sub>
-According to the figure, if the economy started at full-employment output, contractionary monetary policy would cause real gross domestic product (GDP) to ________ in the short run.


A) increase from Y1 to Y2
B) increase from Y1 to Y3
C) decrease from Y2 to Y1
D) decrease from Y3 to Y2
E) increase from Y2 to Y3

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