Use the Following Diagram to Answer the Following Questions

Multiple Choice

Use the following diagram to answer the following questions.

-Refer to Diagram 13-1. If the economy is currently in equilibrium at point B, increasing the money supply would:

A) cause the equilibrium level of real GDP and the equilibrium price level to rise.
B) cause the equilibrium level of real GDP and the equilibrium price level to fall.
C) cause the equilibrium level of real GDP rise and the equilibrium price level to fall.
D) cause the equilibrium level of real GDP fall and the equilibrium price level to rise.