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Aggregate Demand and Supply Analysis

question 85

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Aggregate Demand and Supply Analysis Aggregate Demand and Supply Analysis   -In the figure above,assume that output is $10.5 trillion,while potential output is $12 trillion.If autonomous monetary policy (alone) is used to bring output to $12 trillion,then the figure implies that the real interest rate will be ________ percent,and the inflation rate will be one percent. A) 1.5 B) zero C) one D) 0.5 E) 2.5
-In the figure above,assume that output is $10.5 trillion,while potential output is $12 trillion.If autonomous monetary policy (alone) is used to bring output to $12 trillion,then the figure implies that the real interest rate will be ________ percent,and the inflation rate will be one percent.


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