Assuming That the SRAS Curve Is Upward Sloping,which of the Following

question 155

Multiple Choice

Assuming that the SRAS curve is upward sloping,which of the following statements represents a correct and sequentially accurate economic explanation?

• A) The demand for bonds falls,the price of bonds falls,the interest rate rises,investment spending declines,the AD curve shifts to the left,the price level declines and Real GDP decreases.
• B) The demand for bonds rises,the price of bonds rises,the interest rate rises,investment spending declines,the AD curve shifts to the left,the price level declines and Real GDP decreases.
• C) The supply of bonds rises,the price of bonds falls,the interest rate falls,investment spending rises,the AD curve shifts to the right,the price level declines and Real GDP decreases.
• D) The supply of bonds falls,the price of bonds rises,the interest rate falls,investment spending rises,the AD curve shifts to the right,the price level declines and Real GDP increases.