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    Exam 18: Balance of Payments II: Output, Exchange Rates, and Macroeconomic Policies in the Short Run
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    If the Demand for Money Increases, What Happens in the IS-LM
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If the Demand for Money Increases, What Happens in the IS-LM

Question 75

Question 75

Multiple Choice

If the demand for money increases, what happens in the IS-LM framework?


A) The IS curve shifts right.
B) The LM curve shifts right.
C) The IS curve shifts left.
D) The LM curve shifts left.

Correct Answer:

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