In the long run, a decrease in the money supply growth rate
a. shifts the short-run Phillips curve left so inflation returns to its original rate.
b. shifts the short-run Phillips curve left so unemployment returns to its natural rate.
c. Both A and B are correct.
d. None of the above is correct.
b
Economics
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Monetary policy has one clear advantage over fiscal policy by virtue of its very short
A) data lag. B) data and recognition lags. C) legislative and transmissions lags. D) effectiveness lag.
Economics
In the game in Scenario 13.2, the equilibrium strategies
A) are for both firms to offer rebates. B) is for ABC to offer a rebate, and XYZ not to offer a rebate. C) is for XYZ to offer a rebate, and ABC not to offer a rebate. D) are for both firms to offer no rebate. E) does not exist in pure strategies.
Economics