According to the AS/AD model, in the short run an increase in the federal funds rate will

Name: According to the AS/AD model, in the short run an increase in the federal funds rate will
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An increase in the federal funds rate typically leads to higher interest rates overall, which reduces investment and spending. This decrease in demand can lead to a lower price level and a decrease in real GDP in the short run, according to the Aggregate Supply/Aggregate Demand (AS/AD) model.

According to the AS/AD Model, in the Short Run an Increase