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Roar Roar
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6 years ago
Suppose the central bank implements a monetary contraction that is fully expected by financial market participants. Given this information, we would expect
A) stock prices to rise.
B) stock prices to fall.
C) stock prices to remain unchanged.
D) an ambiguous effect on stock prices.
E) stock prices to fall and the interest rate to rise.
Textbook 
Macroeconomics

Macroeconomics


Edition: 6th
Authors:
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vonCOLLINZOvonCOLLINZO
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6 years ago
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Roar Author
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6 years ago
Thank you, thank you, thank you!
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You make an excellent tutor!
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