There is ________ relationship between inflation and central bank independence and ________ relationship between long-run rates of unemployment and central bank independence

Joseph Gallo poured two glasses of wine from the same bottle but put a more expensive price tag on one glass than on the other. He let people test both and asked which they wanted; most wanted the more expensive glass, not knowing that both had come from the same bottle. This kind of experiment tells us that:

A. people probably want to drink wine for the sense of indulgence it gives them rather than for the taste. B. preferences are given and are not shaped by society. C. people never make rational choices. D. decision making is costless.

The prices of assets are included in standard measures of inflation.

Answer the following statement true (T) or false (F)