Illustrate what are the disadvantages of the fed rising


Short answer questions about aggregate supply, long-run equilibrium, aggregate demand, Real GDP.

1. What are the advantages of the Fed increasing interest rates when the GDP gap is positive?

2. Illustrate what are the disadvantages of the Fed rising interest rates when is believes the GDP gap is positive?

 

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Business Economics: Illustrate what are the disadvantages of the fed rising
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