Alternative Policies - 23893

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  • Due on: Sat 31 Aug, 2013 (11:59pm)
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Consider three alternative policies, each with a different set of outcomes in terms of output and inflation, as shown in the following table:


  1. Calculate the value of the objective function over the five-year period for each of the three polices.
  2. Which policy is best? Why?

Would your answer to part b change if w=5? Explain

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