If Money Demand Relative to the Level of Real Output

question 121

Multiple Choice

If money demand relative to the level of real output is constant then,the slope of the AD curve is

• A)steeper the steeper the slope of the LM curve.
• B)flatter the flatter the slope of the LM curve.
• C)steeper the flatter the slope of the LM curve.
• D)horizontal if the LM curve is vertical.

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