Referring to the graph above, a movement from point H to point I might

Referring to the graph above, a movement from point H to point I might represent ________.

A) the increase in the inflation rate that occurs when the real interest rate rises
B) the automatic response of monetary policy to an increase in the inflation rate
C) an autonomous tightening of monetary policy
D) any of the above
E) none of the above

ANSWER

B