Figure 11-2
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Which graph in Figure 11-2 best reflects a supply-sider’s view of the impact of an increase in the personal income tax rate?

Prior to 2008, some Eurozone nations were______; others were ______, which resulted in ______.

A) large external debtors; large external creditors; a credit-fueled boom B) irresponsible; trying to pick up the slack; lackluster overall performance C) inflation hawks; inflation biased; overall mild inflation D) worried the ECB was not minding the situation; not worried at all; some nations exiting the Eurozone

A monetary policy strategy that uses a fixed exchange rate regime that ties the value of a currency to the currency of a large, low inflation country is called ________ targeting

A) exchange-rate B) currency C) monetary D) inflation