Which of the following is true?

a. Monetary policy influences long-term real interest rates more than short-term interest rates.
b. Short-term interest rates are primarily determined by real factors and the expected inflation.
c. A shift to a more expansionary monetary policy will tend to reduce short-term interest rates.
d. A shift to a more expansionary monetary policy will tend to reduce the expected rate of inflation in the future.

C

Economics

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