A rightward shift in the aggregate demand curve

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Reference no: EM13772465

If there is an autonomous increase in spending (a rightward shift in the aggregate demand curve) and the Fed wishes to hold real income constant, then the Fed would:

None of the above

Hold the money supply constant

Decrease the money supply yielding a leftward shift in the aggregate demand curve.

Increase the money supply yielding a rightward shift in the aggregate demand curve.

Reference no: EM13772465

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