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    Principles of Economics Study Set 12
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    Exam 24: The Economic Fluctuations Model
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    When Inflation Rises, the Federal Reserve Will
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When Inflation Rises, the Federal Reserve Will

Question 131

Question 131

Multiple Choice

When inflation rises, the Federal Reserve will


A) act to decrease interest rates.
B) recommend that the Treasury raise interest rates.
C) recommend that Congress raise interest rates.
D) do nothing.
E) act to increase interest rates.

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