In Response to an Unanticipated Easing of Monetary Policy,the Price

Multiple Choice

In response to an unanticipated easing of monetary policy,the price level ________ at first,then ________ after a year.

A) rises; returns most of the way to its original value
B) falls; returns most of the way to its original value
C) remains roughly unchanged; begins to rise
D) remains roughly unchanged; begins to fall