Figure 15-11
-Refer to Figure 15-11.In the dynamic model of AD-AS in the figure above,if the economy is at point A in year 1 and is expected to go to point B in year 2,the Federal Reserve would most likely
A)increase interest rates.
B)decrease interest rates.
C)not change interest rates.
D)decrease the inflation rate.

Question

Figure 15-11 
-Refer to Figure 15-11.In the dynamic model of AD-AS in the figure above,if the economy is at point A in year 1 and is expected to go to point B in year 2,the Federal Reserve would most likely
A)increase interest rates. 
B)decrease interest rates. 
C)not change interest rates. 
D)decrease the inflation rate.

Quizplus · Accepted Answer

The Answer of Figure 15-11 
-Refer to Figure 15-11.In the dynamic model of AD-AS in the figure above,if the economy is at point A in year 1 and is expected to go to point B in year 2,the Federal Reserve would most likely
A)increase interest rates. 
B)decrease interest rates. 
C)not change interest rates. 
D)decrease the inflation rate.

Figure 15-11 -Refer to Figure 15-11.In the Dynamic Model of AD-AS in of AD-AS