Monetary Policy That Seeks to Minimize the Business Cycle in the AS/AD

Multiple Choice

Monetary policy that seeks to minimize the business cycle in the AS/AD model involves:

A) contractionary monetary policy throughout the business cycle.
B) expansionary monetary policy throughout the business cycle.
C) contractionary monetary policy when the economy is above trend growth and expansionary policy when the economy is below trend growth.
D) expansionary monetary policy when the economy is above trend growth and contractionary policy when the economy is below trend growth.