In Taylor Rule equation, high value of parameter a indicates that
A) Fed cares more about avoiding recessions and high unemployment than about avoiding inflation.
B) Fed cares more about avoiding inflation than about avoiding recessions and high unemployment.
C) Fed cares more about avoiding recessions than about avoiding high unemployment.
D) Fed cares more about avoiding high unemployment than about avoiding recessions.
B
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Medicare and Medicaid were enacted by the Johnson administration in 1965 as amendments to which federal law already in existence?
a. Welfare Act of 1960. b. Social Security Act. c. Employee Retirement and Income Security Act. d. Managed Care Act. e. Equal Rights Act.
Which of the following best describes the difference between cost-of-service regulation and rate-of-return regulation?
A) Costs determine prices in cost-of-service regulation and prices determine costs in rate-of-return regulation. B) Costs determine prices in cost-of-service regulation and prices are set in rate-of-return regulation so the firm can make a normal rate of return. C) Variable costs determine prices in cost-of-service regulation and prices are set in rate-of-return regulation so the firm can make an economic profit. D) Regulators determine prices in cost-of-service regulation and market forces determine prices in rate-of-return regulation.