ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Now, suppose the economy is back in long-run equilibrium, and then the price of imported oil rises.
1. On the following graph, shift a curve or adjust the point to reflect the short-run effect of the increase in the price of oil. (Please use the image attached)
2. True or False: If the Fed undertakes expansionary monetary policy , it can return the economy to its original inflation rate but the unemployment rate will be higher.
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