Assume that the economy starts from long-run equilibrium.If the Federal Reserve increases the money supply,then _increase(s)in the short run,and _increase(s)in the long run
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will exceed the economy's long-run capacity.
B:will be less than the economy's long-run capacity.
C:must equal the economy's long-run capacity.
D:must equal approximatrly 94 percent of the economy's long-run capacity.