How can a person be an indirect stockholder?
a. by owning stock in a fictitious name
b. by owning stock in one company and bonds in another company
c. by the government owning stock in a corporation
d. by a spouse owning stock in a corporation
e. by being a part of a pension fund that invests in stock in corporations
E
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Theory seeks to
a. simplify a complex reality b. confront reality in all its complexity by focusing on the unique aspects of each phenomenon c. explain phenomena without predicting them d. predict phenomena without explaining them e. distort reality in order to improve forecasting ability
Which of the following statements about inflation targeting is true?
A) Inflation targeting by the central banks in other countries has not typically lowered inflation. B) Inflation targeting would not reduce the flexibility of monetary policy to address other policy goals. C) Inflation targeting would not allow the central bank the flexibility to take action against a severe recession. D) Inflation targeting would make it easier for households and firms to form accurate expectations of future inflation, improving their planning and the efficiency of the economy.