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  3. Study Set
    Principles of Economics
  4. Exam
    Exam 32: The Fed Model: Linking Interest Rates, Output, and Inflation
  5. Question
    Take a Look at the IS-MP-PC Model Shown Here
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Take a Look at the IS-MP-PC Model Shown Here

Question 40

Question 40

Multiple Choice

Take a look at the IS-MP-PC model shown here. If the expected inflation rate is 2%, the actual inflation rate is:
Take a look at the IS-MP-PC model shown here. If the expected inflation rate is 2%, the actual inflation rate is:   A) 1%. B) -1%. C) 3%. D) 2%.


A) 1%.
B) -1%.
C) 3%.
D) 2%.

Correct Answer:

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