Consider the Following Sequence of Events: Price Level ↑ ⇒

Multiple Choice

Consider the following sequence of events: price level ↑ ⇒ demand for money ↑ ⇒ equilibrium interest rate ↑
⇒ quantity of goods and services demanded ↓
Τhis sequence explains why the

A) money-supply curve is vertical.
B) aggregate-demand curve shifts leftward in response to a monetary injection.
C) aggregate-demand curve shifts rightward in response to a monetary injection.
D) aggregate-demand curve slopes downward.