Use the money market model to conduct the following analysis.For each of the following events, (i) say which curve shifts, (ii)say in which direction it shifts, and (iii) say in which directionthe equilibrium interest rate changes.
a. Stock prices fall significantly.
b. The U.S. price level rises.
c. The Fed engages in an open market sale of bonds.
d. Credit card fraud becomes a major problem and people startmaking more payments using money.
