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Argue on the following premises: 1. If the economy's income slowly increases and the Central Bank wants to increase the money supply, they should lower

Argue on the following premises:

1. If the economy's income slowly increases and the Central Bank wants to increase the money supply, they should lower interest rates. Graph and explain the market failure that you want to face and with which the monetary policy.

2. If the money supply increases, you will need to raise the interest rate to clear the money market. Graph and explain the market failure that you want to face and with which the monetary policy.

It must include at least two academic sources, formats and cited (in the information) in accordance with current APA regulations.

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