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Exhibit 20-4 Aggregate Demand and Supply Model

Question 131

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Exhibit 20-4 Aggregate demand and supply model
Exhibit 20-4 Aggregate demand and supply model -In Exhibit 20-4,which one of the following actions could the Fed use to shift the AD curve from AD₁ to AD₂? A) Lower the legal reserve requirement. B) Lower the federal funds rate. C) Print currency. D) Raise the discount rate. E) Sell government securities.
-In Exhibit 20-4,which one of the following actions could the Fed use to shift the AD curve from AD₁ to AD₂?


A) Lower the legal reserve requirement.
B) Lower the federal funds rate.
C) Print currency.
D) Raise the discount rate.
E) Sell government securities.

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