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The interest-rate-based approach to the monetary policytransmission mechanism says that a change in the money supplyinfluences aggregate demand by A: a change in interest rates,
The interest-rate-based approach to the monetary policytransmission mechanism says that a change in the money supplyinfluences aggregate demand by
A: a change in interest rates, which changes investment.
B: a change in interest rates, which changes the moneysupply.
C: changing consumer consumption behavior as they adjust to achange in the number of dollars available.
D: leading to shifts of the short-run aggregate supplycurve.
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