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Use the following to answer questions :
Figure: Fiscal Policy with a Fixed Money Supply Use the following to answer questions : Figure: Fiscal Policy with a Fixed Money Supply   -(Figure: Fiscal Policy with a Fixed Money Supply)  Look at the figure Fiscal Policy with a Fixed Money Supply. Assume that this economy is at E<sub>2</sub>. Now government deficit spending is decreased, but the Federal Reserve expands the money supply. According to this model: A) real GDP will decrease just as much as it would if the Federal Reserve had not expanded the money supply. B) real GDP will decrease, but not as much as it would if the Federal Reserve had failed to expand the money supply. C) real GDP will expand, but not as much as it would if the Federal Reserve had not expanded the money supply. D) interest rates will increase.
-(Figure: Fiscal Policy with a Fixed Money Supply) Look at the figure Fiscal Policy with a Fixed Money Supply. Assume that this economy is at E2. Now government deficit spending is decreased, but the Federal Reserve expands the money supply. According to this model:

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Recipient

The person or entity that is intended to receive something, such as a message, email, or package.

Effective Listening

Effective listening is the process of actively paying attention, understanding, responding to, and remembering what is being said.

Trust

The reliance on the integrity, strength, ability, surety, or truth of someone or something, forming the foundation of interpersonal relationships and business dealings.

Organizations

Entities or groups composed of individuals working together towards common goals or purposes.

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