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Use the Figure Below to Answer the Following Question(s)

Question 170

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Use the figure below to answer the following question(s) . Figure 14-2
Use the figure below to answer the following question(s) . Figure 14-2 If the Fed anticipates that the conditions illustrated by AD<sub>1</sub> and SRAS in Figure 14-2 will be present in the near future, it should A) shift to a more restrictive policy. B) shift to a more expansionary policy. C) request that Congress raise tax rates. D) refuse to buy any more U.S. securities. If the Fed anticipates that the conditions illustrated by AD1 and SRAS in Figure 14-2 will be present in the near future, it should


A) shift to a more restrictive policy.
B) shift to a more expansionary policy.
C) request that Congress raise tax rates.
D) refuse to buy any more U.S. securities.

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