The U.S. experience during the 1980s and 1990s illustrates that
a. fiscal policy is substantially more potent than monetary policy.
b. a balanced budget is essential for the achievement of price stability.
c. a monetary policy that keeps the inflation rate low and steady will help promote economic stability.
d. there is a trade-off between inflation and unemployment-the unemployment rate can be reduced if we are willing to tolerate higher rates of inflation.
C
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Which of the following would be classified as a fixed cost for the proprietor who owns and operates the local Texaco station?
A) the federal excise tax paid on each gallon of Texaco gasoline sold B) the state income tax on the profit earned C) the rent paid on the 10 year lease for the property on which the station is located D) the Social Security tax the owner pays the federal government on the owner's income
If Tom does not tattle, what would Sarah's best response be
a. Hit b. Not hit c. Run d. Hide