For the Following Questions, Consult the Diagram Below

question 156

Multiple Choice

For the following questions, consult the diagram below:
Figure 34-1

-Refer to Figure 34-1.If the current interest rate is 2 percent,

• A)there is 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)All of the above are correct.

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