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Colt1911 [192]
4 years ago
8

What happens when money supply decreases?

Advanced Placement (AP)
1 answer:
lubasha [3.4K]4 years ago
8 0
Therefore aggregate demand will increase. The reverse will be true when money supply decreases. That is a decrease in the money supply will lead to a decrease in the amount of money that people and firms will hold and as a result they will spend less. This will cause aggregate demand to decrease. YOUR WELCOME
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People have stages of moral reasoning. The answers to the questions are below.

The primary focus in the conventional level of Kohlberg's theory is aim to please and seek the approval of others people. It is known to be based on the acceptance of social standards of right and wrong.

<h3>The two stages of the conventional level </h3>
  • Stage 3\; in this second level is referred to as good boy/good girl stage. People under  or in this stage often view behaviors as right or wrong by their influence on social relationships.

  • Stage 4: This is referred to as the law and order stage. In this stage, people view or judge behaviors as right or wrong using rules established in society.

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