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It Might Take a While Before the Effects of Changes

Question 41

Multiple Choice

It might take a while before the effects of changes in monetary policy are realized in the economy because it takes considerable time for


A) the overnight interest rate and longer-term interest rates to adjust.
B) investment expenditures and net exports to adjust.
C) government purchases to adjust.
D) monetary policy to be implemented via open-market operations.
E) the exchange rate to adjust.

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