A monetary policy which is likely to bring about a "soft landing" requires that interest rates be ________ while inflation is ________ and unemployment is ________ the natural level.
A)raised,rising,above
B)raised,falling,below
C)lowered,falling,above
D)lowered,rising,below

Question

Quizplus · Accepted Answer

A "soft landing" aims to reduce inflation without causing a recession, so interest rates are lowered to stimulate the economy when inflation is falling and unemployment is above the natural level.

A Monetary Policy Which Is Likely to Bring About a "Soft