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-In the Above Figure, Suppose That the Economy Has Moved

Question 206

Multiple Choice

-In the above figure, suppose that the economy has moved from point D to point B. According to the monetarist theory of the business cycle, what could have caused this movement? A) a decrease in the money wage rate B) an increase in uncertainty about future sales and profits C) an increase in the growth rate of the quantity of money D) an increase in the money wage rate
-In the above figure, suppose that the economy has moved from point D to point B. According to the monetarist theory of the business cycle, what could have caused this movement?


A) a decrease in the money wage rate
B) an increase in uncertainty about future sales and profits
C) an increase in the growth rate of the quantity of money
D) an increase in the money wage rate

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