Consider two hypothetical economies (Country A and Country B) where the central bank undertakes operations to increase t

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answerhappygod
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Consider two hypothetical economies (Country A and Country B) where the central bank undertakes operations to increase t

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Consider two hypothetical economies (Country A and Country B)
where the central bank undertakes operations to increase the money
supply by 5 per cent. In Country A the interest rate falls, but in
Country B the interest rate rises. What sorts of differences
between conditions in the two countries could explain these
differing responses?
Please write an own explanation and link to the
question.
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