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Figure 35-8 Use This Graph to Answer the Questions Below

question 57

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Figure 35-8
Use this graph to answer the questions below. Figure 35-8 Use this graph to answer the questions below.   -Refer to figure 35-8.If the economy starts at 5% unemployment and 5% inflation then if the Federal Reserve pursues a contractionary monetary policy,in the short run the economy moves to A) 3% unemployment and 5% inflation.In the long run the economy moves to 5% unemployment and 5% inflation. B) 3% unemployment and 5% inflation.In the long run the economy moves to 5% unemployment and 3% inflation. C) 7% unemployment and 3% inflation.In the long run the economy moves to 5% unemployment and 5% inflation. D) 7% unemployment and 3% inflation.In the long run the economy moves to 5% unemployment and 3% inflation.
-Refer to figure 35-8.If the economy starts at 5% unemployment and 5% inflation then if the Federal Reserve pursues a contractionary monetary policy,in the short run the economy moves to


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