Multiple Choice
Computer models of the economy:
A) usually consist of only a few equations.
B) require no assumptions about monetary and fiscal policy.
C) require assumptions about monetary and fiscal policy.
D) give excellent predictions regardless of assumptions about monetary and fiscal policy.
Correct Answer:
Verified
Correct Answer:
Verified
Q14: Is the independence of the central bank
Q15: Automatic stabilizers:<br>A) require congressional action before each
Q16: The concerns of economists who favor passive
Q17: A policy rule:<br>A) must specify money growth
Q18: A time-inconsistency problem in macroeconomic policy can
Q20: The time between when government spending increases
Q21: Explain why each of the following statements
Q22: Passive economic policy seeks to:<br>A) offset fluctuations
Q23: Policymakers may be better able to achieve
Q24: Many times a monetary policy does not