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Author Question: Use a graph to show the effects of an expansionary monetary policy moving an economy out of ... (Read 63 times)

NClaborn

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Question 1

Figure 15-5











Refer to Figure 15-5. In the figure above, the movement from point A to point B in the money market would be caused by


◦ an increase in the price level.
◦ a decrease in real GDP.
◦ an open market sale of Treasury securities by the Federal Reserve.
◦ an increase in the required reserve ratio by the Federal Reserve.

Question 2

Use a graph to show the effects of an expansionary monetary policy moving an economy out of recession and to potential real GDP. Explain what happens to aggregate demand, real GDP, and the price level.



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Marked as best answer by NClaborn on Mar 16, 2019

lgoldst9

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NClaborn

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Reply 2 on: Mar 16, 2019
:D TYSM


ttt030911

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

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