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Author Question: If inflationary expectations are increasing, we would expect that the nominal interest rate would ... (Read 84 times)

mwit1967

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If inflationary expectations are increasing, we would expect that the nominal interest rate would also be increasing, holding all else constant.
 
  Indicate whether the statement is true or false

Question 2

Macroeconomic equilibrium can occur at any point on the 45-degree line.
 
  Indicate whether the statement is true or false



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ju

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Answer to Question 1

TRUE

Answer to Question 2

TRUE




ju

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