In using countercyclical policy during a recession, the government faces a tradeoff between reducing unemployment now and reducing inflation in the long run. Please explain.
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Q112: Exhibit 26-1 Q113: The structural budget surplus is the size Q114: In practice, automatic fiscal policy has helped Q115: If real GDP equals B in the Q116: What are the arguments used by the Q118: If real GDP equals C in the Q119: Which of the following is not an Q120: Policy rules tend to make the budget Q121: What is the difference between a structural Q122: For real and potential GDP to be
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