As Real GDP Increases, Which of the Following Occurs

question 57

Multiple Choice

As real GDP increases, which of the following occurs?

• A) The demand for money curve shifts leftward.
• B) The nominal interest rate falls as the demand for money curve shifts leftward.
• C) The demand for money curve shifts rightward.
• D) The demand for money decreases and there is a movement upward along the demand for money curve.
• E) The demand for money increases and there is a movement downward along the demand for money curve.

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