If the Federal Reserve Raises Interest Rates in an Autonomous

question 74

Multiple Choice

If the Federal Reserve raises interest rates in an autonomous tightening ________.

• A)the MP curve shifts up,raising the real interest for any given level of the inflation rate
• B)there is an upward movement along the IS curve
• C)the AD curve shifts to the left
• D)all of the above
• E)none of the above

---

Definitions:

Higher Need

Refers to the more complex, growth-oriented aspects of human motivation, often associated with fulfilling potential and achieving self-actualization.

Failure

The condition or fact of not achieving the desired end or ends; the opposite of success.

Content

Pertains to the substance or material dealt within a speech, text, work of art, or thought, determining its meaning or significance.

Influenced

Being affected or shaped by external factors or agents, leading to changes in behavior, opinion, or development.