Which of the Following Is the Least Likely Take Place

question 24

Multiple Choice

Which of the following is the least likely take place if the Fed responds to a negative demand shock by reducing the real interest rate?

• A)IS shifts to the right
• B)output gap returns to zero
• C)inflation returns to its previous rate
• D)MP shifts down

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Definitions:

Esteem Needs

Esteem needs encompass an individual's desire for respect, self-esteem, self-confidence, and the recognition and appreciation from others.

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Describes a person's drive to strive for success and accomplish challenging goals.

Competitive Situations

Scenarios or environments where individuals or groups are in competition with each other to achieve a certain goal, often leading to heightened levels of performance.

Standard Of Excellence

A level of quality or achievement that is considered superior and serves as a benchmark for others to strive toward.