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Short run and long run impact on the prices and output due to open market operations by Federal Reserve.

The principal method used by the Federal Reserve to change the money supply is through open-market operations. Use the aggregate demand-aggregate supply model to illustrate graphically the impact in the short run and the long run of a Federal Reserve decision to increase open-market purchases.
(Be sure to label:
i. the axes;
ii. the curves;
iii. the initial equilibrium values;
iv. the direction the curves shift;
v. the short-run equilibrium values; and
vi. the long-run equilibrium values.)
State in words what happens to prices and output in the short run and the long run.

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