Figure 10.8 -Refer to Figure 10.8..Other Things Equal,an Increase in the Demand

Multiple Choice

Figure 10.8

-Refer to Figure 10.8..Other things equal,an increase in the demand for money and the accompanying change in the real interest rate would best be represented by

A) a movement from point A to point C.
B) a movement from point A to point D.
C) a shift from LM₁ to LM₂.
D) a shift from LM₂ to LM₁.