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Question 2 Based on the figure above, explain what will happen to the money supply curve and quantity of money in the market: a .

Question 2
Based on the figure above, explain what will happen to the money supply curve and quantity of money in
the market:
a. Government undertakes an expansionary monetary policy
b. The government sells bond
c. A fall in the required reserve ratio
d. An increase in the discount rate
e. A rise in real GDP*
f. A drop in general price level*

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