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    Principles of Economics Study Set 11
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    Exam 31: Monetary Policy
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    ________ Holds That People Form Expectations on the Basis of All
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________ Holds That People Form Expectations on the Basis of All

Question 44

Question 44

Multiple Choice

________ holds that people form expectations on the basis of all available information.


A) Stagflation theory
B) The Phillips curve
C) Adaptive expectations theory
D) Rational expectations theory
E) Monetary neutrality

Correct Answer:

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