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Use a figure of the AA-DD model to explainthe potential effectiveness of a TEMPORARYfiscal policy to spur on the economy (i.e., increase the level of

Use a figure of the AA-DD model to explainthe potential effectiveness of a TEMPORARYfiscal policy to spur on the economy (i.e., increase the level of production Y) in the short rununder a floating exchange rate regime. Would change your answer if you consider a PERMANENTpolicy instead?

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