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    Macroeconomics Policy and Practice
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    Exam 13: Macroeconomic Policy and Aggregate Demand and Supply Analysis
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    When a Temporary Negative Supply Shock Hits the Economy,then in the Short-Run
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When a Temporary Negative Supply Shock Hits the Economy,then in the Short-Run

Question 64

Question 64

Multiple Choice

When a temporary negative supply shock hits the economy,then in the short-run ________.


A) if the central bank focuses on stabilizing output,it cannot stabilize inflation
B) if the central bank focuses on stabilizing inflation,it cannot stabilize output
C) the divine coincidence does not hold
D) all of the above
E) none of the above

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