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The Federal Reserve's Policy Reaction Function Provides Information About

Question 10

Multiple Choice

The Federal Reserve's policy reaction function provides information about:


A) economywide money demand and the output gap.
B) economywide money demand and the long-run target for inflation.
C) the long-run target for inflation and how aggressively targets will be pursued.
D) the short-run target for inflation and how aggressively target will be pursued.

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