Starting from Long-Run Equilibrium,the Long-Run Impact(s)of an "Easing" of Monetary

Multiple Choice

Starting from long-run equilibrium,the long-run impact(s) of an "easing" of monetary policy by the Bank of Canada (a downward shift in the monetary policy rule) ,compared to the original equilibrium,would be

A) higher inflation.
B) higher output.
C) higher inflation and higher output.
D) lower inflation and lower output.
E) no change in inflation or output.