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Suppose that the economy is producing above the potential levels of GDP. Contractionary monetary policy by the Fed will _____. Select the correct answer below:

Suppose that the economy is producing above the potential levels of GDP. Contractionary monetary policy by the Fed will _____. Select the correct answer below: raise the price level and raise the equilibrium GDP lower the price level and raise the equilibrium GDP lower the price level and lower the equilibrium GDP raise the price level and lower the equilibrium GDP

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