Problem
1. What is the real interest rate? Why can the Fed control the real interest in the short run but not in the long run?
2. What is the monetary policy curve? Why does it slope upward?
3. How does an autonomous tightening or an easing of monetary policy by the Fed affect the MP curve?
4. What is the aggregate demand curve? Why does it slope downward?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.