Multiple Choice
Which of the following statements seems to be verified by economic data?
A) Inflation tends to rise during recessions.
B) Inflation adjusts within three months to output gaps.
C) Inflation tends to fall during expansions.
D) It can take over a year for inflation to adjust to output gaps.
Correct Answer:

Verified
Correct Answer:
Verified
Q3: In the U.S., most of the recessions
Q6: Explain the impact on the monetary policy
Q8: If current output deviates from potential output,
Q10: Empirical evidence suggests that over the last
Q24: An inflation rate above the target rate
Q26: A monetary policy reaction curve requires the
Q40: The relationship between the long-run real interest
Q43: In the short run, the aggregate supply
Q47: Which of the following would not be
Q73: The monetary policy reaction curve:<br>A) is the