Figure 15-1 -Refer to the Figure 15-1.Which of the Following Will Happen

question 157

Multiple Choice

Figure 15-1

-Refer to the Figure 15-1.Which of the following will happen if the current interest rate is 2 percent?

• A)There will be excess money supply.
• B)People will sell more bonds, which drives interest rates up.
• C)As the money market moves to equilibrium, people will buy more goods.
• D)People will sell more bonds, which drives the interest rates down.

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