Which of the Following Would NOT Be a Result of a Contractionary

question 181

Multiple Choice

Which of the following would NOT be a result of a contractionary monetary policy?

• A) Interest rates would rise.
• B) Foreign goods would become more expensive to U.S. residents.
• C) Net exports would decline.
• D) Imports would rise.

---

Definitions:

Coffee

A popular beverage made from roasted and ground bean seeds, known for its stimulating effect due to caffeine.

Diminishing Marginal Utility

The decline in the additional satisfaction a person derives from consuming one more unit of a good or service.

Demand Curves

A graphical representation showing the relationship between the price of a good and the quantity of that good that consumers are willing and able to purchase at various prices.

Supply Curves

A graphical representation showing the relationship between the price of a good and the quantity supplied at those prices.