If the Fed decides to increase interest rates to fight off potential inflation, and their policy action kept the inflation rate stable, then other things equal, this would result in

Suppose commodity demand is stronger than expected, and money demand is stable

If the Fed is targeting the interest rate, it notices the rate is ________ its target, and action to correct this, shifting the LM curve to the ________, causes GDP to ________ natural GDP. A) below, right, fall back toward B) below, right, rise further toward C) below, left, rise further from D) above, left, fall back from E) above, right, rise further from

The Phillips curve that Samuelson and Solow fitted to their data was

A) upward sloping. B) downward sloping. C) vertical. D) horizontal.