When the money market is drawn with the value of money on the vertical axis, an increase in the money supply shifts the money supply curve to the a. left, lowering the price level. b. left, raising the price level. c. right, lowering the price level. d. right, raising the price level.

The correct answer is option D.

Explanation:

An increase in the money supply will lead to a rightward shift in the money supply curve. The interest rate will fall causing the cost of lending to decline. Consequently, the level of investment will increase

This will further cause the aggregate demand to increase. With the increase in demand, the price level will increase as well. Thus, an increase in the money supply has an inflationary effect on the economy.

cognitive overload: having a lot on your mind impairs decision-making and tends to result in the simplest, but not necessarily best, option being selected.

empathy gaps: overlooking how you might feel in a different situation can result in unnecessary purchases, such as overbuying when shopping for food on an empty stomach.

optimism and overconfidence: wearing rose-tinted glasses and having unrealistic expectations about the future can affect money management and leave you unprepared for a change in circumstance.

instant gratification: seeking instant gratification drives impulsive spending and can undermine long-term planning and savings.

harmful habits: automatic or mindless behaviour can amplify a poor financial decision as it becomes a recurring event.

social norms: we are heavily influenced by the actions of others; while this can be in certain circumstances, it also contributes to the pressure to keep up with the joneses through conspicuous consumption.

answer; ///i believe that the correct answer is (a) it is the means by which a person earns money;