In Figure 4.3, an increase in the interest rate from i2 to i1 can be explained by
A. a decrease in money growth.
B. an increase in money growth.
C. a decline in the price level.
D. an increase in the expected price level.
Answer:A
In Figure 4.3, an increase in the interest rate from i2 to i1 can be explained by
A. a decrease in money growth.
 B. an increase in money growth.
 C. a decline in the price level.
 D. an increase in the expected price level.
