An Increase in the Quantity of Money Supplied Shifts the Money

question 64

Multiple Choice

An increase in the quantity of money supplied shifts the money supply curve to the ________ and the LM curve to the ________,everything else held constant.

• A)right;left
• B)right;right
• C)left;left
• D)left;right

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Definitions:

Tax

A mandatory monetary fee or different kind of charge placed on a taxpayer by government authorities to finance government operations and diverse public expenses.

Consumer Surplus

The divergence between the amount consumers are prepared to pay and the amount they actually pay for a good or service.

Excise Tax

A tax imposed on specific goods, services, or transactions, often with the aim of discouraging their use or raising revenue.

Hamburgers

A popular fast-food item typically made of ground beef, chicken, or other meats, served inside a split bun.