Using Taylor's rule, when the equilibrium real overnight rate is 2 percent, there is no output gap, the actual inflation rate is zero, and the target inflation rate is 2 percent, the nominal overnight rate should be ________.
A) 0 percent
B) 1 percent
C) 2 percent
D) 3 percent

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The Answer of Using Taylor's rule, when the equilibrium real overnight rate is 2 percent, there is no output gap, the actual inflation rate is zero, and the target inflation rate is 2 percent, the nominal overnight rate should be ________.
A) 0 percent
B) 1 percent
C) 2 percent
D) 3 percent

Using Taylor's Rule, When the Equilibrium Real Overnight Rate Is