In the Keynesian Model in the Short Run,an Increase in the Money

question 70

Multiple Choice

In the Keynesian model in the short run,an increase in the money supply will cause

• A)an increase in output and a decrease in the real interest rate.
• B)a decrease in the real interest rate but no change in output.
• C)an increase in the real interest rate and an increase in output.
• D)no change in either the real interest rate or output.

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