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Explain why a contractionary monetary policy would not necessarily result in interest rates rising by the full amount of what the initial contraction would produce. In other words, if there were no impact on the goods market the interest rate would rise to a higher level. Given that there is an impact explain how this works.
Soviet Union
A socialist state in Eurasia that existed from 1922 to 1991, characterized by a single-party system led by the Communist Party.
Grand Alliance
Historically refers to the major coalition formed of European powers against Louis XIV of France in the late 17th century or the alliance of Britain, the Soviet Union, and the United States during World War II.
Soviet Union
A former federal socialist state in Eurasia that existed from 1922 to 1991, composed of multiple republics, and was governed by the Communist Party.
Freedom House
An organization that conducts research and advocacy on democracy, political freedom, and human rights around the world.
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