Suppose the demand for money becomes less sensitive to changes in the interest rate

In moving along an LM curve, an increase in income must be accompanied by a ________ change in the interest rate than before, meaning that the LM curve has become ________. A) greater, steeper
B) greater, flatter
C) smaller, steeper
D) smaller, flatter


A

Economics

You might also like to view...

According to this Application, between 2006 and 2009, Chinese demand for pecans increased by roughly ________ percent

A) 79 B) 90 C) 456 D) 877

Economics

Who was Jean-Baptiste Say? How does his theory (or "law") compare with that of John Maynard Keynes?

What will be an ideal response?

Economics

In the long run, a competitive firm will earn zero economic profit

a. True b. False Indicate whether the statement is true or false

Economics

A supply curve illustrates a(n) ____ relationship between ____ and ____

a. direct; price; supply b. direct; price; quantity demanded c. direct; price; quantity supplied d. inverse; price; quantity demanded

Economics