QUESTION 9 1. The Reserve Bank of India (RBI) had kept its benchmark interest rate at around 6-8% between early 2011 and early 2020. When the COVID-19 pandemic hit India in 2020, RBI decided to expand money supply and to lower interest rates to help struggling firms and households. This meant that in 2020 the LM curve of Indian economy " must have become flatter. D must have become steeper. must have remained unchanged. d may have become flatter or steeper depending on the extent of money . supply increase