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The US dollar appreciates. a) Illustrate the short run effect on the economy (Changes in Aggregate Demand, Aggregate Supply or both) using GRAPH. b) Explain

The US dollar appreciates.

a) Illustrate the short run effect on the economy (Changes in Aggregate Demand, Aggregate Supply or both) using GRAPH.

b) Explain which policy is most suitable to overcome the economic fluctuations - Fiscal policy, Monetary policy or both.

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