4514EconomicsMedium
In the market for real output, the initial effect of an increase in the money supply is to?
Ashift the aggregate supply curve to the right
Bshift the aggregate demand curve to the left
Cshift the aggregate supply curve to the left
Dshift the aggregate demand curve to the right
Correct answer
D. shift the aggregate demand curve to the right
Explanation
The correct answer is shift the aggregate demand curve to the right.