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The IS-MP Model Assumes the Bank of Canada Targets ________,And

Question 75

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The IS-MP model assumes the Bank of Canada targets ________,and the IS-LM model assumes the Bank of Canada targets ________.


A) the expected inflation rate; the unemployment rate
B) the short-term nominal interest rates; the money supply
C) the output gap; the long-term real interest rate
D) short-term real interest rates; the expected inflation rate

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