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Refer to the figure below.Suppose the economy is in a short-run equilibrium at output Y3 and inflation rate 2. The economy is currently experiencing ______, and the correct monetary policy response to this situation, to return the economy to potential GDP, is to ______.
Electrolytes
Substances that dissolve in water to produce a solution that conducts electricity due to the movement of ions.
Electrolytes
Substances that produce an electrically conducting solution when dissolved in a polar solvent, like water, essential for bodily functions.
Electrolytes
Substances that dissociate into ions in solution and acquire the capacity to conduct electricity.
Electrolytes
Substances that produce ions and conduct electricity when dissolved in water.
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