- An Increase In The Money Supply Would Cause The Is Curve To O Shift Up And To The Right As The Excess Supply Of Money Ca 1 (17.58 KiB) Viewed 13 times
An increase in the money supply would cause the IS curve to O shift up and to the right as the excess supply of money ca
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An increase in the money supply would cause the IS curve to O shift up and to the right as the excess supply of money ca
An increase in the money supply would cause the IS curve to O shift up and to the right as the excess supply of money causes interest rates to fall, resulting in an increase in the aggregate demand for consumption and investment. O shift down and to the left as the excess supply of money causes prices to rise, decreasing the aggregate demand for consumption and investment. O shift down and to the right as the excess supply of money causes interest rates to fall, resulting in an increase in the aggregate demand for consumption and investment. O remain unchanged since changes to the money supply is represented by movements along the IS curve as the LM curve shifts.