If the Fed Raises the Interest Rate,this Will ________ Inflation

question 22

Multiple Choice

If the Fed raises the interest rate,this will ________ inflation and ________ real GDP in the short run.

• A)reduce; raise
• B)increase; lower
• C)increase; raise
• D)reduce; lower

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Definitions:

Neck

The narrow part connecting two larger parts or structures, such as the part of a bottle connecting its body to its opening or the part of the body that connects the head to the torso.

Measurement Unit

A standardized quantity used to express the size, amount, or degree of a physical quantity.

Best Predictor

The variable or factor most accurately forecasting an outcome or result in a statistical model.

Salary

A fixed regular payment, typically expressed on an annual basis, paid by an employer to an employee.