Match the following with LM curve responses:
| List-I (Factor) | List-II (Effect) |
|---|---|
| A. Increase in money supply | II. Shift rightward |
| B. Decrease in price level | II. Shift rightward |
| C. Higher interest sensitivity | III. LM becomes flatter |
| D. Rise in real income | IV. Movement along LM to higher rate |
1
A-II, B-II, C-III, D-IV
2
A-I, B-II, C-IV, D-III
3
A-II, B-II, C-I, D-IV
4
A-II, B-I, C-III, D-IV