The German central bank in the European Monetary System, 1979-1998

A) was very inflation-averse.
B) was moderately inflation-averse.
C) was willing to accept inflation.
D) lacked control over inflation since it had fixed its exchange rate.
E) lacked sufficient reserves.

A

Economics

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Which of the following is the most common goal for central banks of industrialized countries?

A) high employment B) high economic growth C) low interest rates D) low inflation

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Suppose the market demand curve for a Bertrand duopoly is downward sloping. What happens to the Nash equilibrium price and market quantity if the constant marginal cost declines?

A) Price and quantity decline B) Price increases and quantity declines C) Price decreases and quantity increases D) Price and quantity increase

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