Everything Else Held Constant,if Aggregate Output Is to the Right

question 56

Multiple Choice

Everything else held constant,if aggregate output is to the right of the LM curve,then there is an excess ________ of money which will cause the interest rate to ________.

• A)supply;fall
• B)supply;rise
• C)demand;fall
• D)demand;rise

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Definitions:

Budget

A financial plan for a defined period, often one year, that is used to plan for future revenue and expenses.

Standard

Refers to an established norm or requirement in various contexts, such as quality, behavior, or operations.

Standard Costs

Predetermined costs for products, services, or activities, used as benchmarks for measuring performance.

Management Planning

The process of setting objectives and outlining a strategy to achieve those objectives within an organization.