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The Interest-Rate-Based Monetary Policy Transmission Mechanism Suggests That the Changes

Question 320

Multiple Choice

The interest-rate-based monetary policy transmission mechanism suggests that the changes in the money supply affect aggregate spending


A) indirectly through interest rates and planned investment spending.
B) directly through interest rates and planned consumption spending.
C) indirectly through tax rates and planned consumption spending.
D) directly through interest rates and planned government spending.

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