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    Exam 27: The ISLM Model
  5. Question
    If the Economy Is on the LM Curve,but Is to the Right
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If the Economy Is on the LM Curve,but Is to the Right

Question 82

Question 82

Multiple Choice

If the economy is on the LM curve,but is to the right of the IS curve,aggregate output will ________ and the interest rate will ________.


A) rise;rise
B) rise;fall
C) fall;rise
D) fall;fall

Correct Answer:

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