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Munze Munze
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7 years ago
Suppose the central bank engages in contractionary monetary policy that results in lower money growth. This lower money growth will cause which of the following in the short run?
A) lower real interest rates and lower nominal interest rates
B) lower real interest rates and higher nominal interest rates
C) higher real interest rates and higher nominal interest rates
D) higher real interest rates and lower nominal interest rates
E) no change in either nominal or real interest rates
Textbook 
Macroeconomics

Macroeconomics


Edition: 6th
Authors:
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Macroeconomics, 6/E (Blanchard, Johnson)
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legendvpnlegendvpn
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7 years ago
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Munze Author
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7 years ago
Helped a lot
Ctownsend
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Thank you, thank you, thank you!
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Thanks for your help!!
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