Solved

Figure 17-1 -Refer to Figure 17-1. When the Money Supply Curve Shifts

Question 89

Multiple Choice

Figure 17-1 Figure 17-1 -Refer to Figure 17-1. When the money supply curve shifts from MS<sub>1</sub> to MS<sub>2</sub>, A) the demand for goods and services decreases. B) the economy's ability to produce goods and services increases. C) the equilibrium price level decreases. D) None of the above is correct.
-Refer to Figure 17-1. When the money supply curve shifts from MS₁ to MS₂,

A) the demand for goods and services decreases.
B) the economy's ability to produce goods and services increases.
C) the equilibrium price level decreases.
D) None of the above is correct.

Correct Answer: