Suppose that there is a natural disaster that destroys some of the nation's capital stock. The central

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Suppose that there is a natural disaster that destroys some of the nation's capital stock. The central bank's goal is to stabilize the price level. Given this goal, what should the central bank do in response to the natural disaster? Explain with the aid of diagrams.

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Macroeconomics

ISBN: 978-0132991339

5th edition

Authors: Stephen d. Williamson

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