In the IS–LM model, the impact of an increase in government purchases in the goods market has ramifications in the money market, because the increase in income causes a(n) in money .

In the IS–LM model, the impact of an increase in government purchase

1.	In the IS–LM model, the impact of an increase in government purchases in the goods market has ramifications in the money market, because the increase in income causes a(n) in money .
A.	increase; supply
B.	increase; demand
C.	decrease; demand
D.	decrease; supply
Answer» C. decrease; demand