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    Principles of Economics
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    Exam 32: The Fed Model: Linking Interest Rates, Output, and Inflation
  5. Question
    In the IS-MP Analysis in the Fed Model, the Risk-Free
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In the IS-MP Analysis in the Fed Model, the Risk-Free

Question 103

Question 103

Multiple Choice

In the IS-MP analysis in the Fed model, the risk-free rate rises in response to:


A) increased capital inflows.
B) adverse supply shocks.
C) fiscal policy.
D) monetary policy.

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