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Business, 21.08.2019 19:30 jahnoibenjamin

Which of these situations is most likely to cause the fed to introduce a tight money supply?
the economy is prosperous with relatively low inflation and low unemployment.
a recession has reduced aggregate demand and increased unemployment.
the federal government passes a new budget with a large deficit.
the economy is expanding quickly and inflation is a concern.

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Which of these situations is most likely to cause the fed to introduce a tight money supply?
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