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The liquidity-preference theory assumes that the interest rate adjusts to balance the money demand and supply, where the money supply is arbitrarily determined by the central bank. However, we have previously learned that the central bank controls the money supply precisely by changing the interest rate. How do you reconcile the liquidity-preference theory with using the interest rate as a monetary policy tool?
Ethical Dilemma
A situation in which a difficult choice must be made between two or more actions, each of which has moral implications.
Sexual Harassment
Unwanted sexual advances, requests for sexual favors, or other verbal or physical conduct of a sexual nature that can affect an individual's employment, interfere with their work performance, or create a hostile work environment.
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