Solved

According to the New Monetarist Model,a Negative Shift in the K(r)function

Question 17

Multiple Choice

According to the New Monetarist Model,a negative shift in the k(r) function causes:


A) a shift right in aggregate demand, output increases and the real interest rate increases.
B) a shift left in aggregate supply, output decreases and the real interest rate increases.
C) a shift left in aggregate demand, output falls and the real interest rate decreases.
D) a shift right in aggregate supply, output increases and the real interest rate decreases.
E) a shift left in aggregate demand, output falls and the real interest rate increases.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions