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Refer to the following figure to answer the questions that follow: level (P) Real GDP (Y) According to the figure, if the policy is

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Refer to the following figure to answer the questions that follow: level (P) Real GDP (Y) According to the figure, if the policy is fully expected, expansionary monetary policy will cause an economy initially in full-employment equilibrium to see its price level: O a. decrease from P3 to P2. O b. increase from P1 to P2. O c. increase from P1 to P3. O d. decrease from P3 to Pl. O e. initially increase from P1 to P2 and over time increase to P3.

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