If the central bank wants to contract aggregate demand, it can ________ the money supply and thereby

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If the central bank wants to contract aggregate demand, it can ________ the money supply and thereby ________ the interest rate.

a. increase; increase

b. increase; decrease

c. decrease; increase

d. decrease; decrease

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Essentials Of Economics

ISBN: 9780357723166

10th Edition

Authors: N. Gregory Mankiw

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Question Posted: Feb 26, 2024 03:01 AM

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If the central bank wants to contract aggregate demand, it can ________ the money supply and thereby

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The correct answer is d decrease increase Heres the explanation Central banks goal When the central ...View the full answer

Essentials Of Economics

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