If the Fed Makes an Unexpected Open Market of Government

question 59

Multiple Choice

If the Fed makes an unexpected open market of government securities, the aggregate
Curve shifts rightward and .

• A) sale; demand; there is a movement along the short-run Phillips curve
• B) purchase; demand; the long-run Phillips curve shifts rightward
• C) sale; supply; the short-run Phillips curve shifts upward
• D) purchase; demand; the short-run Phillips curve shifts downward