Q6

D Question 6 1 pts Under a flexible-price monetary approach to the exchange rate when the domestic money supply falls, the price level would fall right away, keeping the interest rate constant. when the domestic money supply falls, the price level would fall right away, causing an increa interest rate. when the domestic money supply falls, the interest rate will decline, keeping the price level constant. when the domestic money supply falls, the price level would fall right away, causing a reduction in the interest rate. when the domestic money supply falls, the interest rate will increase, keeping the price level constant