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Cuba Cuba
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9 years ago
Suppose the measured unemployment rate is 7.5% and the true natural rate of unemployment is 5.1%. If the chair of the Fed believes the natural rate of unemployment to be 6.7%, then the chair will
A) stimulate the economy when it should be slowed.
B) slow the economy when it should be stimulated.
C) stimulate the economy, exactly as called for.
D) slow the economy, exactly as called for.
Textbook 
Economic Analysis of Social Issues

Economic Analysis of Social Issues


Edition: 1st
Author:
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IloveChiIloveChi
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9 years ago
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Cuba Author
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#2
9 years ago
I have a major exam next week. Thank you for taking the time to answer. Problem solved.
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#3
9 years ago
You're welcome.

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