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(Last Word) Market Monetarists Advocate That the Fed "Target the Forecast

Question 211

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(Last Word) Market monetarists advocate that the Fed "target the forecast" (of the predicted nominal GDP growth rate) , claiming primarily that it will


A) promote economic stability by ensuring that total spending will grow at a predictable rate each year.
B) prevent high rates of inflation.
C) keep the economy at its natural rate of unemployment.
D) prevent real GDP from growing too much.

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