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Author Question: The Fed will raise the interest rate by the greatest amount when the economy is on the ________ part ... (Read 17 times)

aabwk4

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Question 1

If the economy is on the steep portion of the 
AS curve


◦ there is little crowding out of planned investment.
◦ there is almost complete crowding out of planned investment.
◦ consumption, but not government spending, crowds out planned investment.
◦ government spending, but not consumption, crowds out planned investment.

Question 2

The Fed will raise the interest rate by the greatest amount when the economy is on the ________ part of the 
AS curve and there is ________.


◦ flat; a decrease in government spending
◦ flat; an increase in government spending
◦ steep; a decrease in government spending
◦ steep; an increase in government spending


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Marked as best answer by aabwk4 on Apr 19, 2019

tsternbergh47

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aabwk4

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Reply 2 on: Apr 19, 2019
Excellent


pangili4

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

 

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