When two goods have negative cross elasticities of demand and negative income elasticities, they are:
a. Normal and substitutes

If the Fed maintains an expansionary monetary policy, ________

A) the M2 measure of money decreases B) the real interest rate increases C) banks make less loans D) bank deposits increase

Based on the Taylor rule, in the 1980s, monetary policy was

A) too tight. B) too easy. C) just about right. D) too tight in the first half of the decade and too easy in the second half.