Figure 16-4 -Refer to Figure 16-4.In the Graph Above,suppose the Economy Is

Multiple Choice

Figure 16-4
-Refer to Figure 16-4.In the graph above,suppose the economy is initially at point A.The movement of the economy to point B as shown in the graph illustrates the effect of which of the following policy actions by Congress and the president?

A) an increase in transfer payments
B) an increase in interest rates
C) an increase in the marginal income tax rate
D) an open market purchase of Treasury bills