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QUESTION
Starting at macroeconomic equilibrium at full employment, show the effects of contractionary monetary policy in the long run using an aggregate
Starting at macroeconomic equilibrium at full employment, show the effects of contractionary monetary policy in the long run using an aggregate demand-aggregate supply (AD-AS) model
LRASSRAS*PriceSRASRFSRAD*DeflationaryGapSRADOOUTPUT* AYEffect of Contracting Monetary Policy in short and long run