LRAS SRAS, SRAS,Q U Price Level Interest Rate Interest Rate N AD 2 12 AD 1 Quantity of Money Planned Investment Real GDP per Year ($ tril) In the above figure, if the economy is initially at an equilibrium output at point A and the interest rate is ry, then an open market purchase of bonds by the Fed will O A. cause interest rates to increase and output to decline. O B. cause interest rates to decline to 2, investment to increase to 12, and the AD curve to shift upward to the right. O C. cause interest rates to decline to 2, investment to decline, and aggregate demand to shift inward to the left. O D. not have any impact on short-run or long-run equilibrium real Gross Domestic Product (GDP)