Exhibit: Economic Adjustments If the economy is at point c, the Federal Reserve can close the output gap by buying bonds. In the bond market,

Group of answer choices,

A. the supply curve shifts right, leading to a decrease in bond prices and an increase in interest rates.

B. the demand curve shifts right, leading to an increase in bond prices and a decrease in interest rates.

C. The supply curve shifts left, leading to an increase in bond prices and an increase in interest rates.

D.

the demand curve shifts left, leading to a decrease in bond prices and an increase interest rates..

Also please explain why other options is incorrect.. thanks. Needed more explanation