Suppose that the oil price sharply increased for a while, which increase. Can policymakers do something to accommodate this shock? Would the outcome Suppose that the oil price sharply increased for a...

Suppose that the oil price sharply increased for a while, which increase.

Can policymakers do something to accommodate this shock? Would the outcome
Suppose that the oil price sharply increased for a while, which increased production costs, causing an adverse supply shock.

1. 
   Can policymakers do something to accommodate this shock? Would the outcome be
   different in this case?