Which one of the following statements is false? O A. Liquidity preference model suggests that when the bond markets is in excess supply, the money market is in excess demand. O B. The liquidity effect...

Extracted text: Which one of the following statements is false? O A. Liquidity preference model suggests that when the bond markets is in excess supply, the money market is in excess demand. O B. The liquidity effect of the growth of money supply leads to lower interest rates. OC. The price-level effect of the growth of money supply leads to lower interest rates. O D. Liquidity preference model suggests that higher GDP growth leads to higher nominal interest rates.