REFERRING TO FIGURE 18-1, FLUCTUATIONS IN MONEY DEMAND BETWEEN MD′...
32) Referring to Figure 18-1, fluctuations in money demand between M
d′
and Md′′
cause (a) fluctuations of the money supply. (b) the interest rate to remain stable at i*
. (c) interest rate fluctuations between i*
and i′′. (d) interest rate fluctuations between i′ and i′′. (e) none of the above. Answer: D Question Status: New