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Using the figure you have plotted for part (b) to guide you, explain what the Taylor rule suggests that the Fed should have done during
Using the figure you have plotted for part (b) to guide you, explain what the Taylor rule suggests that the Fed should have done during the COVID-19 pandemic recession and why, as well as what it should be doing now and compare it the actual actions of the Fed in terms of the Fed Funds rate. Make sure to provide the economic intuition for your answe
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