When the Federal Reserve carries out open market operations, it announces in advance the effect it wishes to have on the federal funds rate

Suppose the government wants to reduce illegal importation of exotic animals used as pets and tries to achieve this goal by interrupting the supply of illegally imported exotic animals

If the demand for these animals is highly inelastic, this government effort will result in A) a small reduction in the quantity of exotic pets demanded. B) a large reduction in the quantity of exotic pets demanded. C) no change in the quantity of exotic pets demanded. D) an increase in the quantity of exotic pets demanded.

Secular deflation

A. cannot exist in a capitalistic economy. B. has been a serious problem during the last three decades in the United States. C. has not been present in the United States since 1960. D. although present, has not been a problem during the last three decades in the United States.