-In the Figure Above, an Increase in the Monetary Base

question 252

Multiple Choice

-In the figure above, an increase in the monetary base would create a change such as a

• A) shift from the supply of money curve MS₀ to the supply of money curve MS₁.
• B) shift from the supply of money curve MS₁ to the supply of money curve MS₀.
• C) movement from point b to point a along the supply of money curve MS₀.
• D) movement from point a to point b along the supply of money curve MS₀.