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    Principles of Macroeconomics Study Set 8
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    Exam 22: The Short Run Trade Off Between Inflation and Unemployment: Shifts in the Phillips Curve the Role of Supply Shocks
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    After an Oil Price Shock,which of the Following Would Move
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After an Oil Price Shock,which of the Following Would Move

Question 49

Question 49

Multiple Choice

After an oil price shock,which of the following would move unemployment back towards its natural rate?


A) the Fed sells bonds
B) the government raises taxes
C) the government increases expenditures
D) All of the above are correct.

Correct Answer:

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