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Which of the Following Shows the Correct Effect on the IS

Question 8

Multiple Choice

Which of the following shows the correct effect on the IS curve of an increase in the real interest rate?
Which of the following shows the correct effect on the IS curve of an increase in the real interest rate?   A) a movement from point A to point D B) a movement from point A to point B C) a movement from point C to point B D) a movement from point D to point C


A) a movement from point A to point D
B) a movement from point A to point B
C) a movement from point C to point B
D) a movement from point D to point C

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