In general, the Fed has not embraced a fixed-growth-rate monetary policy because:
a. its adoption would lead to a decrease in the employment rate in the U.S. economy.
b. no influential economists have come out in favor of it
c. the Fed has to report to Congress, and Congress is not in favor of it.
d. the Fed prefers active fiscal policy.
e. they believe the economy is too complex to make such a policy work consistently.
e
Economics
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Refer to the figure above. If there is downward wage rigidity in the market, what will be the unemployment in the market after the demand curve shifts to LD2?
A) 20 units of labor B) 5 units of labor C) 10 units of labor D) 15 units of labor
Economics
The cost of producing an additional unit of a good or service that is borne by the producer of that good or service is the marginal
A) external cost. B) private cost. C) social cost. D) public cost. E) None of the above answers is correct.
Economics