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Consider the following table: Year Potential GDP Real GDP Price Level 2012 $143149 $14.914.9 110 trillion trillion 2013 $15.3 trillion $152152 112112 trillion What can

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Consider the following table: Year Potential GDP Real GDP Price Level 2012 $143149 $14.914.9 110 trillion trillion 2013 $15.3 trillion $152152 112112 trillion What can we expect from the Federal Reserve Bank if it seeks to move the economy in the direction of long-run macroeconomic equilibrium? r A. The Fed will pursue an expansionaryan expansionary fiscal policy. :1 B. The Fed will pursue a contractionarya contractionary fiscal policy. .1 C. The Fed will pursue an expansionaryan expansionary monetary policy. Your answer is correct. ."1 D. The Fed will pursue a contractionarya contractionary monetary policy

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