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Q; 2. In the following examples, would the classical model of the price level bea useful model for analyzing how the economy behaves?a. The economy has high unemployment and no history of inflation.b. The economy has just experienced five years of hyperinflation.c. Although the economy experienced inflation in the 10% to 20% rangethree years ago, prices have recently been stable and theunemployment rate has approximated the natural rate ofunemployment.

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