Having a nominal inflation target for monetary growth can pose a difficulty because:
A) inflation is very challenging to measure.
B) inflation can be higher or lower, depending on the growth rate of real GDP.
C) most agree that inflation targets are completely unrelated to monetary growth.
D) monetary growth can be affected by political pressure and other noneconomic factors.
Ans: B) inflation can be higher or lower, depending on the growth rate of real GDP.
Economics
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If Y=C+I+G but Md< Ms, then
a. interest rates must rise and output must fall. b. both interest rates and output must fall. c. interest rates must fall and output must rise. d. both interest rates and output must rise. e. none of the above.
Economics
Explain each of the determinants of the present value of expected profits from a buying a new machine
What will be an ideal response?
Economics