Base on the Situation Described Above 1. What kind of shock did this change in nominal wages cause? _____________ (positive or negative) _____________ (supply or demand) 2. Assume the target inflation rate in Sweden was 2% and this policy by the Swedish government described above leads to a decline in inflation to zero percent. They fear the actual average level of prices in the economy might decrease from last year. The term for the price level actually falling is: _____________. The Swedish Central Bank is looking to intervene given it is very worried about missing Sweden's inflation target