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18. If the Federal Reserve (Fed) decides to buy more bonds, this graph can show this as a. a shift from MS1 to MS2. b.

18. If the Federal Reserve (Fed) decides to buy more bonds, this graph can show this as a. a shift from MS1 to MS2. b. a shift from MS2 to MS1. c. movement from point a to b on MS1 d. movement from point d to c on MS2

19. If the Federal Reserve (Fed) increases the federal funds target rate, this graph can show this as a. a shift from MS1 to MS2. b. a shift from MS2 to MS1. c. movement from point a to b on MS1. d. movement from point d to c on MS2.

image text in transcribed
interest rate a bad C 7 Money Dellland Money Q Money supply ( MS ) 1 Supply ( ms] Z

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