According to the rational expectations school, _____
a. on average people have very little idea of what to expect from government policy makers
b. people form expectations by focusing only on the private sector
c. changes in the expected price level shift the aggregate demand curve
d. people do not consider likely government policies when forming expectations, choosing to remain rationally ignorant
e. people form expectations, in part, by considering the probable future actions of government policy makers
e
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Using the Rule of 70, if the country of Huttodom's current growth rate of real GDP per person was 10 percent a year, how long would it take the country's real GDP per person to double?
A) 0.7 years B) 20 years C) 7 years D) 10 years
If the quantity of money supplied is greater than the quantity demanded, then prices should fall
a. True b. False Indicate whether the statement is true or false