Ben Bernanke and Alan Blinder Were Able to Document That

Multiple Choice

Ben Bernanke and Alan Blinder were able to document that

A) peaks in the rate of growth of the money supply actually follow, rather than precede, peaks in the business cycle.
B) increases in the federal funds rate cause output to fall.
C) increases in the federal funds rate cause increases in the inflation rate.
D) output declines almost immediately in response to a contractionary policy by the Fed.