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Business, 18.09.2019 00:40 OliTepley5966

Suppose a computer virus disables the nation’s automatic teller machines, making withdrawals from bank accounts less convenient. as a result, people want to keep more cash on hand, increasing the demand for money. assume the fed does not change the money supply. according to the theory of liquidity preference, the interest rate , which causes aggregate demand to . if instead the fed wants to stabilize aggregate demand, it should the money supply by government bonds.

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