In the New Classical Model,an Anticipated Policy of a Continually

Multiple Choice

In the new classical model,an anticipated policy of a continually increasing money supply causes

A) aggregate demand increases along a stationary aggregate supply curve,leading to continually increasing aggregate output and prices.
B) aggregate supply decreases along a stationary aggregate demand curve,leading to continually contracting aggregate output and prices.
C) aggregate demand continually increases while simultaneously aggregate supply continually decreases,leading to higher and higher price levels.
D) aggregate demand continually decreases while simultaneously aggregate supply continually increases,leading to higher and higher price levels.