Economist Alban William Phillips believed that:
a. the Fed should follow a policy rule because it does not know the lag structure.
b. the Fed should follow a policy rule to avoid monetary surprises
c. there is an inverse relationship between inflation and unemployment.
d. private sector spending is inherently unstable.
e. government spending is inherently unstable.
c
Economics
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"Banks hold about 50 percent of their assets as reserves." Is the previous statement correct or not?
What will be an ideal response?
Economics
In the above figure, if the price of milk rises, the budget line
A) rotates outward and the slope becomes steeper. B) shifts inward and its slope does not change. C) rotates inward and the slope becomes steeper. D) rotates inward and the slope becomes more shallow.
Economics