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Exhibit 24-3 -If the Central Bank Changes Its Monetary Policy Rule from Policy

Question 118

Multiple Choice

Exhibit 24-3 Exhibit 24-3 -If the central bank changes its monetary policy rule from A to B as shown in Exhibit 24-3, A) the monetary policy rule line will shift to the right. B) there will be no change in the real rate of interest. C) the real rate of interest will decline. D) there has been an increase in the target inflation rate. E) the monetary policy rule line will shift to the left.
-If the central bank changes its monetary policy rule from A to B as shown in Exhibit 24-3,


A) the monetary policy rule line will shift to the right.
B) there will be no change in the real rate of interest.
C) the real rate of interest will decline.
D) there has been an increase in the target inflation rate.
E) the monetary policy rule line will shift to the left.

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