Refer to the data. U.S. imports are:

Why doesn't the Fed have both a money supply target and an interest rate target?

A) The Fed does not control money demand. B) Short-term interest rates do not respond to changes in the money supply, which the Fed can control. C) The Fed cannot offset the impact of changes in cash management by the public or changes in lending policies of commercial banks on the money supply. D) Only the level of interest rates matters when we consider rates of growth in real GDP, employment, and rates of price inflation.

Which of the following statements is an example of confusing association and causation?

A. Senator Jones believes that more tax revenue should be distributed to the poor. B. A map includes roads, but not every restaurant, telephone pole, and  C. Interest rates rise when it rains, all other factors constant. D. When the price of Coca-Cola increases, consumers buy more Pepsi, all other factors constant.