If the Federal Reserve increases the money supply at the same time as

If the Federal Reserve increases the money supply at the same time as an expansionary fiscal policy drives up budget deficits, we would expect to see income _____ and interest rates ____.

a. changes be indeterminate; fall
b. fall; fall
c. rise; fall.
d. rise; changes be indeterminate
e. none of the above.

 

ANSWER

C

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