Note: The answer should be typed.

Given the Phillips Curve model below, suppose the economy is in an inflationary gap. and policy-makers (Fed or President & Congress) decide to intervene. inflation rate LRPC 1B A C D SRPC E 51/2 . unemployment NATURAL rate rate 4. If policy-makers decide to intervene, what type of "policy" will they advocate? 5. With the use of policy, the economy will move from point_ _ to point 6. Refer to the answer template. Use the information from the Phillips curve above and indicate the same inflationary gap on each of the three graphs. SPFF - Godx potential time AS NAR : 1 = REAL GDP AD 7. The U.S Economy is strong right now. Why? Actually draw the graphs