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3 Written questions

3 Multiple choice questions

  1. changes in federal taxes and purchases that are intended to achieve macroeconomics policy
  2. a curve that shows the relationship in the short-run between the price level and the quantity of real GDP supplied by firms
  3. a model that explains short-run fluctuations in real GDP and the price level

3 True/False questions

  1. stagflationa combination of inflation and recession, usually resulting from supply shock

          

  2. monetary policythe actions the Federal Reserve takes to manage the money supply and interest rates to pursue macroeconomics policy objective

          

  3. supply shocka combination of inflation and recession, usually resulting from supply shock

          

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