Use the following to answer questions:
Figure: Short-Run Determination of the Interest Rate 
-(Figure: Short-Run Determination of the Interest Rate) Refer to Figure: Short-Run Determination of the Interest Rate. If the money supply is at MS1 and the Fed conducts expansionary monetary policy, in the short run the interest rate drops to r2. In the long run the demand for money will _____, and the interest rate will_____.
Definitions:
Trophic Molecule
Trophic molecules are substances, often proteins, that support the growth, development, or function of cells and tissues.
Nerve Growth Factor
A protein essential for the growth, maintenance, and survival of certain neurons, playing a key role in neurodevelopment and regeneration.
Inferior Frontal Gyrus
A region in the frontal lobe of the brain associated with language processing and speech production.
Superior Temporal Gyrus
A region of the brain's temporal lobe involved in processing sounds, language, and speech perception.
Q46: (Figure: Monetary Policy II) Refer to Figure:
Q64: If the unemployment rate rose, a classical
Q65: (Figure: Short-Run Equilibrium) Refer to Figure: Short-Run
Q70: A graphical representation of the relationship between
Q74: As people try to avoid the inflation
Q105: When a waiter deposits his cash tips
Q107: The interest rate effect of a change
Q123: Which statement is NOT considered one of
Q129: (Table: Balance Sheet) Refer to Table: Balance
Q305: In the long-run, changes in the money