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Explain the concept of Inflationary Gap. Explain the role of Repo Rate in reducing this gap.ORExplain the concept of Deflationary Gap and the role of Open Market Operations in reducing this gap.
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Draw and aggregate supply and aggregate demand graph showing a inflationary gap. Explain how the non-interventionists would restore long-run equilibrium. | Homework.Study.com
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22.3 Recessionary and Inflationary Gaps and Long-Run Macroeconomic Equilibrium – Principles of Economics
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