When the AD Curve Is Relatively Flat, the Fed

Multiple Choice

When the AD curve is relatively flat, the Fed

A) is only willing to accept small changes in output to keep the price level stable.
B) is willing to accept large changes in the price level to keep output stable.
C) is not willing to accept any changes in output to keep the price level stable.
D) is willing to accept large changes in output to keep the price level stable.