Which of the following situations is one in which the fed, Ask an Expert

Economics

Which of the following situations is one in which the Fed will potentially pursue expansionary monetary policy?

A. Potential GDP is forecasted to be higher than equilibrium GDP.

B. Aggregate demand is growing too fast to keep the economy at full employment.

C. Potential GDP is forecasted to be lower than equilibrium GDP.

D. Aggregate demand is growing too slowly and the economy is in danger of producing GDP above full employment.

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M91674005

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