Question: Predict what will happen to aggregate output and the price level if the Federal Reserve increases the money supply at the same time that Congress

Predict what will happen to aggregate output and the price level if the Federal Reserve increases the money supply at the same time that Congress implements and income tax cut.

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*12. Predict what will happen to aggregate output and the price level if the Federal Reserve increases the money supply at the same time that Congress implements an income tax cut.

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