Question: a) How does monetary policy affect equilibrium GDP? How can it address the problem of recession or slow growth? Inflation? b) Suppose the economy

a) How does monetary policy affect equilibrium GDP? How can it address

a) How does monetary policy affect equilibrium GDP? How can it address the problem of recession or slow growth? Inflation? b) Suppose the economy is experiencing a recession and high unemployment. Describe the transmission mechanism through which monetary policy could address these problems.

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