Suppose that the RBA raises the current interest rate by decreasing the money supply, with no other policy change implem

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answerhappygod
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Suppose that the RBA raises the current interest rate by decreasing the money supply, with no other policy change implem

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Suppose that the RBA raises the current interest rate by
decreasing the money supply, with no other policy change
implemented or anticipated. Which of the following shifts in the IS
and/or LM curves will take place in the current period?
Select one: a. IS left; LM up. b. IS left; LM down. c. IS right;
LM up. d. no shift in IS; LM up. e. IS right; LM down.
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