The problem of cyclical asymmetry refers to the idea that
A) a restrictive monetary policy can force a contraction of the money supply, but an expansionary monetary policy may not achieve an increase in the money supply.
B) the monetary authorities have been less willing to use an expansionary monetary policy than they have a restrictive monetary policy.
C) cyclical downswings are typically of longer duration than cyclical upswings.
D) an expansionary monetary policy can force an expansion of the money supply, but a restrictive monetary policy may not achieve a contraction of the money supply.
Correct Answer:
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