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Suppose that in 1980, the U.S. Inflation rate was 12:5 percent and the unemployment rate reached 74 percent. Suppose that the target rate of inflation

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Suppose that in 1980, the U.S. Inflation rate was 12:5 percent and the unemployment rate reached 74 percent. Suppose that the target rate of inflation was 2 5 percent back then and the full employment rate of unemployment was 5 percent at that time. What value does the Taylor Rule predict for the Fed's target interest rate? Instructions: Enter your answer rounded to 2 decimal places. percent

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