Multiple Choice
According to liquidity preference theory,a decrease in the price level shifts the
A) money demand curve rightward,so the interest rate increases.
B) money demand curve rightward,so the interest rate decreases.
C) money demand curve leftward,so the interest rate decreases.
D) money demand curve leftward,so the interest rate increases.
Correct Answer:
Verified
Correct Answer:
Verified
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Q19: Figure 34-1 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2297/.jpg" alt="Figure 34-1
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