For a monopoly, the demand for its product is perfectly elastic at the market price

If the economy is above full employment, there is ________ gap, and as the economy adjusts toward full employment, the price level ________

A) a recessionary; rises B) an inflationary; falls C) a recessionary; falls D) an inflationary; does not change E) an inflationary; rises

The traditional tools of monetary policy

A. can only be utilized after obtaining the approval of Congress. B. rely heavily upon changes in individual income tax rates. C. seek to influence an "intermediate" target variable. D. directly impact the economy.