How could central bank achieve goal in short run
Course:- Macroeconomics
Reference No.:- EM13204781

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An economy is in long-run macroeconomic equilibrium with an unemployment rate of 5% when the government passes a law requiring the central bank to use monetary policy to lower the unemployment rate to 3% and keep it there. How could the central bank achieve this goal in the short run? What would happen in the long run.

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