Monetarists Believe That

Multiple Choice

Monetarists believe that:

A) the government should follow a fixed rule to change money supply in response to business cycles.
B) the government should not use discretionary monetary policy to achieve its goals of economic growth and low inflation.
C) government intervention should be well thought out and should be used only during recessions.
D) government intervention in the economy makes business cycles disappear.
E) government intervention policies have only long-run effects.