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Mathematics, 24.04.2020 01:30 PineappleDevil889

Through bond sales, a nation's central bank pulls money out of circulation. One of the short-term effects is to drive the price level from 100 down to 93.7. There are other short-term effects as well, but they fade in the long run, even as the price level drops still further. Model the short- and long-term effects in the graph below by dragging one or more curves to new positions. To refer to the graphing tutorial for this question type, please click here.

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Through bond sales, a nation's central bank pulls money out of circulation. One of the short-term ef...
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