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7 years ago
If the intersection of the IS curve with the horizontal axis comes at a level of output below the natural level of output, lowering interest rate to zero will
A) bring economy back to natural output.
B) not bring the economy back to natural output.
C) will have inflationary effects on the economy.
D) will cause saving rates to increase.
Textbook 
Macroeconomics

Macroeconomics


Edition: 12th
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7 years ago
Thank you for helping me all throughout my semester
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