Suppose There Was an Economic Contraction Caused by a Shift

question 145

Multiple Choice

Suppose there was an economic contraction caused by a shift in aggregate supply. Further, suppose the central bank changes the money supply to offset the effects of that contraction. How would the effects of the change in money supply be reflected in the aggregate demand and aggregate supply model?

• A) aggregate supply would shift to the right.
• B) Aggregate supply would shift to the left.
• C) Aggregate demand would shift to the right.
• D) Aggregate demand would shift to the left.

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Definitions:

Germinal Center

An area inside lymph nodes where mature B cells grow, evolve, and alter their antibody genes while responding to an immune challenge.

Afferent Vessels

Blood vessels that carry blood toward a particular organ or tissue, often referring to the vessels entering an organ.

Efferent Vessels

Blood vessels or lymphatic vessels that carry fluid away from an organ or tissue, as opposed to afferent vessels that bring fluid to it.

Lymphatic Vessels

A network of conduits through which lymph, containing immune cells and waste, is transported.