According to the Taylor rule,if actual output is greater than the natural rate of output,then the Fed should
A) decrease inflation.
B) increase interest rates.
C) conduct open market sales.
D) decrease interest rates.
E) Both a and b
Correct Answer:
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Q14: After two decades with inflationary rates that
Q15: If the great majority of shocks to
Q16: The best case for intermediate targeting on
Q17: According to the theory of time inconsistency,why
Q18: Which of the following statements is (are)correct?
Q20: Discuss the merits of a money growth
Q21: The Taylor rule relates
A)inflation rates to unemployment
Q22: In today's Fed,its primary strategy is to
A)target
Q23: An index constructed by Alberto Alesina and
Q24: The voting members of the Open Market
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