According to the liquidity preference model: a. an increase in the money supply lowers the equilibrium rate of interest. b. a decrease in the money supply lowers the equilibrium rate of interest. c. the money supply curve is a horizontal line. d. the demand for money curve is a vertical line.
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Home » Business » According to the liquidity preference model: a. an increase in the money supply lowers the equilibrium rate of interest. b. a decrease in the money supply lowers the equilibrium rate of interest. c. the money supply curve is a horizontal line. d.