When the Money Market Is Depicted in a Diagram with the Value

question 117

Multiple Choice

When the money market is depicted in a diagram with the value of money on the vertical axis, in which situation does the price level decrease?

• A) if either money demand or money supply shifts right
• B) if either money demand or money supply shifts left
• C) if money demand shifts right or money supply shifts left
• D) if money demand shifts left or money supply shifts right

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Definitions:

Tetrahedral Geometry

A molecular shape where a central atom is surrounded by four atoms or groups of atoms at the corners of a tetrahedron.

Carbon Atoms

The basic building blocks of most molecules that make up living things, symbolized as C, with an atomic number of 6.

Phenol

An organic compound consisting of a benzene ring bonded to a hydroxyl group, used in the production of plastics, explosives, and pharmaceuticals.

Tetrahedral Geometry

A geometric layout where four atoms are positioned at the vertices of a tetrahedron with a central atom in the middle.