Multiple Choice
The Fed prefers to change its interest rate target only rarely because
A) those targets affect productivity in the labor force
B) a fluctuating stock and bond market signals a recession
C) interest rates are greatly overrated as a measure of economic performance
D) it is so difficult to do so
E) the changes destabilize the financial markets
Correct Answer:
Verified
Correct Answer:
Verified
Q49: If people come to expect ongoing inflation,what
Q50: An unstable inflation rate<br>A) always redistributes real
Q51: If the Fed has a goal of
Q52: What is the major cost associated with
Q53: Which of the following is the Fed's
Q55: The cost of cyclical unemployment is<br>A) spread
Q56: If the Fed responds to an increase
Q57: Which of the following would lead the
Q58: The Phillips curve represents the Fed's short-run
Q59: If people start to use cash because