How many quarters (3-month periods) must the "real" GDP decline to have the economy considered to be in a recession?

When the financial crisis started in August 2007, inflation was rising and the Fed began an aggressive easing lowering of the federal funds rate, which indicated that

A) the Fed pursued an autonomous monetary policy tightening. B) the Fed pursued an autonomous monetary policy easing. C) the Fed had an automatic negative response to inflation based on the Taylor rule. D) the Fed had an automatic positive response to inflation based on the Taylor rule.

Which of the following encourage(s) entrepreneurs to innovate?

a. the patent system b. the enforcement of contracts by the courts c. private property rights d. All of the above are correct.