Which of the following is a monetary policy target used by the Fed?

In a regressive tax system, ________

A) low income households pay a higher percentage of their income as taxes B) high income households pay a higher percentage of their income as taxes C) all households pay the same amount of taxes irrespective of their income D) all households pay the same percentage of their income as taxes

The real interest rate differs from the nominal rate in that ________

A) it more accurately represents the true cost of borrowing B) it varies negatively with changes in the rate of inflation C) it is the better indicator of credit market conditions D) all of the above E) none of the above