Starting from Disequilibrium in Both Markets,an Increase in Absorption Will

Multiple Choice

Starting from disequilibrium in both markets,an increase in absorption will cause:

A) the supply curve to shift to the left for both tradables (T) and nontradables (N) .
B) the demand curve to shift to the right for both T and N.
C) the demand curve to shift to the right for N and to the left for T.
D) no shifts in the curves, but the economy moves to a position of inflation and external deficit.