17. Which of the following sequence of events follows an expansionary monetary policy? a) interest rate(up)----consumption & investment(up)---Aggregate demand(down)----real GDP(up) b) interest rate(down)---consumption & investment(down)----Aggregate demand(up)----real GDP(down) c) interest rate(up)----consumption & investment(down)----Aggregate demand(down)---real GDP(down) d) interest rate(down)---consumption & investment(up)-----Aggregate demand(up)----real GDP(up)

17. Which of the following sequence of events follows an expansionary monetary policy? a) interest rate(up)----consumption & investment(up)---Aggregate demand(down)----real GDP(up) b) interest rate(down)---consumption & investment(down)----Aggregate demand(up)----real GDP(down) c) interest rate(up)----consumption & investment(down)----Aggregate demand(down)---real GDP(down) d) interest rate(down)---consumption & investment(up)-----Aggregate demand(up)----real GDP(up)

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter22: Money Growth And Inflation

Section: Chapter Questions

Problem 1CQQ

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