If the Fed announces that it will reduce the growth rate of the money supply to 3% next year but people do not believe it, the Fed is said to

The policy of attempting to obtain a specific low level of inflation over the long run is referred to as:

A) inflation targeting. B) the seigniorage policy. C) the minimal inflation policy. D) price control.

In measuring GDP, which of the following is included?

A) the value of durable consumption goods but not the value of nondurable consumption goods. B) the value of preparing meals at home C) the value of stocks and bonds bought and sold D) the value of increases in business inventories E) the value of used goods when they are sold