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Which Equation Best Represents the Taylor Rule

Question 12

Multiple Choice

Which equation best represents the Taylor rule?


A) i = r* + ?T + {w1 × [(Y ? Y*) /Y*] × 100} + [w2 × (? ? ?T) ]
B) i = r* + ? + {w1 × [(Y ? Y*) /Y*] × 100} + [w2 × (? ? ?T) ]
C) i = r + ?T + {w1 × [(Y ? Y*) /Y*] × 100} + [w2 × (? ? ?T) ]
D) i = r + ? + {w1 × [(Y ? Y*) /Y*] × 100} + (w2 × ?)

Correct Answer:

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