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    Exam 30: Inflation Expectations and Stabilization Policies
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    (Figure: Expectations A) in the Figure, What Is the Cause
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(Figure: Expectations A) in the Figure, What Is the Cause

Question 16

Question 16

Multiple Choice

(Figure: Expectations A) In the figure, what is the cause of the movement from point b to c?
(Figure: Expectations A)  In the figure, what is the cause of the movement from point b to c?    A)  positive demand shock B)  negative demand shock C)  self-correcting mechanism D)  inflation expectations


A) positive demand shock
B) negative demand shock
C) self-correcting mechanism
D) inflation expectations

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