-In the Above Figure,suppose the Economy Has Moved from Point

question 247

Multiple Choice

-In the above figure,suppose the economy has moved from point D to point B.According to the monetarist theory of the business cycle,what could have caused this movement?

• A) a decrease in the money wage rate
• B) an increase in uncertainty about future sales and profits
• C) an increase in the growth rate of the quantity of money
• D) an increase in the money wage rate

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