Multiple Choice
According to the theory of monetary neutrality,in the long run,
A) monetary policy is always more effective than fiscal policy.
B) fiscal policy is always more effective than monetary policy.
C) expansionary monetary policy is more effective than contractionary monetary policy.
D) contractionary monetary policy is more effective than expansionary monetary policy.
E) there is a lack of real economic effects from monetary policy.
Correct Answer:

Verified
Correct Answer:
Verified
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Q27: Contractionary monetary policy makes the aggregate demand
Q29: The traditional short-run Phillips curve has _
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