To Eliminate the Output Gap Shown in the Figure Below,the

Multiple Choice

To eliminate the output gap shown in the figure below,the central bank should take a(n) _______ and _______ the official interest rate by a sufficient amount.If successful,such a policy may be expected shift the expenditure line _______.

A) expansionary monetary policy action;lower;down
B) contractionary monetary policy action;lower;down
C) expansionary monetary policy action;lower;up
D) contractionary monetary policy action;raise;up
E) expansionary monetary policy action;raise;up