For interest rates to remain stable during economic expansions,the money supply should:

A) decrease at a faster rate than the demand for money.
B) grow at the same rate as money demand.
C) grow at a faster rate than money demand.
D) grow at a slower rate than money demand.
E) decrease at a slower rate than the demand for money.

Money Supply

The collective amount of currency and currency equivalents within an economy at a designated snapshot in time, including cash, coin forms, and savings and checking account deposits.

Economic Expansions

Periods of economic growth and increasing GDP, characterized by rising employment, consumer spending, and investment.

Interest Rates

The fraction of a loan billed as interest to the borrower, often shown as an annual percentage of the outstanding loan amount.