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Economics monetary policy

Please analyze the following economic situation: Suppose our economy has a GDP of $19 trillion and has an unemployment rate of 5% (Natural rate of unemployment). Now assume that the Fed announces that it is reducing the money supply by 6% (a completely "expected" change). A) Use AD and AS model to explain the short run effects of this change on real GDP, on unemployment rate, and on the price level. (5 points) B) Use AD and AS model to explain the long run effects of this change on real GDP, on unemployment rate, and on the price level. (5 points) I am interested in your understanding and your thought process; not a fancy paper.
Please analyze the following economic situation: Suppose our economy has a GDP of $19 trillion and has an unemployment rate of 5% (Natural rate of unemployment). Now assume that the Fed announces that it is reducing the money supply by 6% (a completely "expected" change).
Assignment ID
778003
Discipline
CREATED ON
23 November 2018
COMPLETED ON
24 November 2018
Price
$30
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23 November 2018
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23 November 2018
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23 November 2018
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23 November 2018
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24 November 2018
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