Figure 35-8 Use This Graph to Answer the Questions Below

question 22

Multiple Choice

Figure 35-8
Use this graph to answer the questions below.
-Refer to figure 35-8.Suppose the economy starts at 5% unemployment and 3% inflation and expected inflation remains at 3%.Which one of the following points could the economy move to in the short run if the Federal Reserve pursues a more contractionary monetary policy?

• A)7% unemployment and 1% inflation
• B)7% unemployment and 3% inflation
• C)3% unemployment and 5% inflation
• D)3% unemployment and 7% inflation

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Definitions:

Extrinsic Motivation

Motivation driven by external rewards such as money, fame, grades, and praise, in contrast to intrinsic motivation, which is driven by internal rewards.

Earn Paycheck

The act of receiving payment for work performed or services provided.

Leptin

A hormone produced by fat cells that helps to regulate energy balance by inhibiting hunger.

Appetite Regulation

The biological and psychological mechanisms that control the desire to eat, influencing food intake and energy balance.