Table 26-4 -Refer to Table 26-4

question 47

Essay

Table 26-4
$$\begin{array} { | l | l | l | c | } \hline \text { Year } & \text { Potential Real GDP } & \text { Real GDP } & \text { Price Level } \\\hline 2016 & \$ 18.1 \text { trillion } & \$ 18.1 \text { trillion } & 150 \\\hline 2017 & 18.4 \text { trillion } & 18.3 \text { trillion } & 153 \\\hline\end{array}$$
-Refer to Table 26-4.Suppose the following table illustrates the values of real and potential GDP and the price level if the Fed does not vote to change their current policy to be more contractionary or expansionary.If the Fed wants to keep real GDP at its potential level in 2017,should the Fed use a contractionary or expansionary policy? How should it conduct open market operations to achieve its goal?

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Definitions:

Representative Clade

A group of organisms that includes an ancestor and all of its descendants, representative of a larger evolutionary group.

Supergroup

A classification level in the hierarchy of biological taxonomy, designed to help categorize organisms that share fundamental evolutionary traits beyond the domain and kingdom level.

Water Molds

Aquatic, fungus-like organisms belonging to the group Oomycetes, known for causing diseases in plants and fish.

Representative Clade

A collection of organisms consisting of a common ancestor and all its direct offspring, signifying one lineage on the evolutionary tree.