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    Principles of Economics Study Set 12
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    Exam 27: Monetary Policy
  5. Question
    In Setting Interest Rates, the Fed Reacts Directly to
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In Setting Interest Rates, the Fed Reacts Directly to

Question 80

Question 80

Multiple Choice

In setting interest rates, the Fed reacts directly to


A) the output gap.
B) the price level.
C) the level of potential GDP.
D) the level of real GDP.
E) the level of investment.

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