Question: Suppose a new technology has caused a vast increase in the supply of crude oil, thereby lowering oil prices. Everything else held constant, an unexpected

Suppose a new technology has caused a vast increase in the supply of crude oil, thereby lowering oil prices. Everything else held constant, an unexpected decrease in oil prices will shift the Phillips curve resulting in in inflation rate. To combat this situation, the appropriate policy action would be for the Fed to its target for the federal funds rate. Select one: up; a decrease; decrease down; an increase; increase up; an increase; increase down; a decrease; decrease Clear my choice

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