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Suppose the current price level is 149.2 and one year ago the price level was 145.5. Output is currently 12,892.5 and potential output is 13,643.2

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Suppose the current price level is 149.2 and one year ago the price level was 145.5. Output is currently 12,892.5 and potential output is 13,643.2 (both in billions of 2009 dollars) a. What value of the federal funds rate would the Fed choose if it follows the Taylor rule? i= (report your answer in decimals to three places)

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