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In response to an asset-price bubble, macroprudential regulation appears to be the right tool. What is macroprudential regulation? A) Increasing the federal funds rate across the macroeconomy B) The use of tax incentives to capture some of the gains from bubbles C) Regulatory policy to affect what is happening in credit markets in the aggregate D) None of the above is correct.
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In response to an asset-price bubble, macroprudential regulation appears to be the right tool. What...
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