A Change in the Interest Rate Does Not Affect the Quantity

question 101

Multiple Choice

A change in the interest rate does not affect the quantity of money supplied.This means that:

• A)the money supply curve is negatively sloped.
• B)the money supply curve is vertical.
• C)the money supply curve is horizontal.
• D)the money supply curve is a 45 degree line drawn from the origin.
• E)the money supply curve is kinked.

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Definitions:

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Sad Mood

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