When the Money Market Is Drawn with the Value of Money

question 121

Multiple Choice

When the money market is drawn with the value of money on the vertical axis,if the price level is below the equilibrium level,there is an

• A)excess demand for money,so the price level will rise.
• B)excess demand for money,so the price level will fall.
• C)excess supply of money,so the price level will rise.
• D)excess supply of money,so the price level will fall.

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