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Explain how the price of a stock (or an index) is calculated and how it depends on GDP and interest rate. Suppose the BLS announces

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Explain how the price of a stock (or an index) is calculated and how it depends on GDP and interest rate. Suppose the BLS announces a very weak job market and an increase in the unemployment rate. Using the graphs of the IS-LM model, explain how the expectation of future policy undertaken by the Fed may affect the stock price immediately after the announcement by the BLS

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