What is the overall effect on M1 and M2?
A. M1 rises by $500, M2 falls by $500.
B. M1 is unchanged, M2 is unchanged.
C. M1 rises by $500, M2 is unchanged.
D. M1 is unchanged, M2 falls by $500.
Answer:C
What is the overall effect on M1 and M2?
A. M1 rises by $500, M2 falls by $500. B. M1 is unchanged, M2 is unchanged. C. M1 rises by $500, M2 is unchanged. D. M1 is unchanged, M2 falls by $500.