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Imagine that you are in charge of macroeconomic policy. Answer these questions, being sure to explain your answers. What are some of the problems, difficulties,

Imagine that you are in charge of macroeconomic policy. Answer these questions, being sure to explain your answers.

  • What are some of the problems, difficulties, or hardships caused by unemployment?
  • What are some of the problems, difficulties, or hardships caused by inflation?
  • If you had to make a choice today between a policy that would head off increases in inflation or increases in unemployment, which one would you choose?

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