Economics · Classical Macroeconomics
In the context of classical economics, an increase in the money supply causes:
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1No change in aggregate demand and aggregate supply, only price increases
- 2A shift in the aggregate supply curve to the right
- 3A shift in the aggregate demand curve to the left
- 4A shift in the aggregate demand curve to the right✓
Correct answer
A shift in the aggregate demand curve to the right
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