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Figure 30-3 on the Following Graph, MS Represents the Money Supply and Supply

Question 156

Multiple Choice

Figure 30-3
On the following graph, MS represents the money supply and MD represents money demand. Figure 30-3 On the following graph, MS represents the money supply and MD represents money demand. -Refer to Figure 30-3. Which of the following events could explain a shift of the money-supply curve from MS<sub>2</sub> to MS<sub>1</sub>? A) A decrease in the value of money B) An increase in the price level C) An open-market sale of bonds by the Federal Reserve D) The Federal Reserve buys bonds
-Refer to Figure 30-3. Which of the following events could explain a shift of the money-supply curve from MS2 to MS1?


A) A decrease in the value of money
B) An increase in the price level
C) An open-market sale of bonds by the Federal Reserve
D) The Federal Reserve buys bonds

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