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    Principles of Economics Study Set 6
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    Exam 26: Monetary Policy and the Fed
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    Figure 11-3 -Refer to Figure 11-3.By Shifting the Supply Curve from S<sub>1</sub>
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Figure 11-3 -Refer to Figure 11-3.By Shifting the Supply Curve from S1

Question 104

Question 104

Multiple Choice

Figure 11-3
Figure 11-3    -Refer to Figure 11-3.By shifting the supply curve from S<sub>1</sub> to S<sub>2</sub>, the Fed is attempting to ____ the economy by _______ interest rates. A) expand; increasing B) contract; increasing C) contract; decreasing D) expand; decreasing
-Refer to Figure 11-3.By shifting the supply curve from S1 to S2, the Fed is attempting to ____ the economy by _______ interest rates.


A) expand; increasing
B) contract; increasing
C) contract; decreasing
D) expand; decreasing

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