Refer to the Graph Shown

question 23

Multiple Choice

Refer to the graph shown.The shift in the graph from D1 to D2 shows how a contractionary U.S.fiscal policy can cause a decrease in:

• A)prices that raises the dollar's value.
• B)interest rates that reduces the dollar's value.
• C)prices that reduces the dollar's value.
• D)interest rates that raises the dollar's value.

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Definitions:

Action

The process or state of doing something or being active, often implying movement or the implementation of decisions.

Recommendation

A suggestion or advice designed to guide decisions or actions.

Deadline

A fixed or final time by which something must be completed or submitted.

Neutral Buffer

An introductory statement in communication that is neither positive nor negative, used to ease into a sensitive or controversial topic.