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Economics

Q. An economy is facing recessionary gap, to eliminate gap should central bank use expansionary or contractionary monetary policy? How will interest rate, investment spending, and consumer spending, real GDP and aggregate price level change as monetary policy closes recessionary gap?

Q. Suppose you want to infer expected future exchange rates in a less-developed country that has free-market-determined interest rates but does not have a forward exchange market. Is re any or way of inferring expected future exchange rates? Under what assumptions?

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M9307775

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