For This Question,assume That Individuals Form Expectations of Inflation According

Multiple Choice

For this question,assume that individuals form expectations of inflation according to the following equation πᵉt = θπt₋₁.From 1970 on,the value of θ for this equation

A) increased over time and approached 1.
B) decreased over time and approached zero.
C) remained constant at zero.
D) remained constant at negative one.
E) none of the above