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The Federal Reserve has dual manudates of 1) stable prices and 2) maximum employment. What is most likely to happen to its ability to achieve

  1. The Federal Reserve has dual manudates of 1) stable prices and 2) maximum employment. What is most likely to happen to its ability to achieve those two mandates if the Federal Reserves pursues stimulative monetary policy?

(a) This helps with mandate 1) but harms mandate 2).

(b) This harms mandate 1) but helps with mandate 2).

This helps with both mandates.

This harms both mandates.

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