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Question 25- Year Potential Real GDP- Real GDP- 2016- $18.2 trillion $18.2 trillion 2017- 18.6 trillion 18.4 trillion The hypothetical information in the table shows

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Question 25- Year Potential Real GDP- Real GDP- 2016- $18.2 trillion $18.2 trillion 2017- 18.6 trillion 18.4 trillion The hypothetical information in the table shows what the values for US real GDP will be in 2017 if the Fed does not use monetary policy. Which of the following policies makes sense if the Fed wants to keep real GDP at its potential level in 2017?

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