Which of the following is NOT a disadvantage of of the Fed's "just do it" approach to monetary policy?
A) There is low transparency of policy.
B) There is low accountability for central bankers.
C) This type of policy make the Fed more susceptible to the time-inconsistency problem.
D) It relies on a stable money-inflation relationship.
D
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A technique for locating equilibria by marking the best strategy a player can use to counter each of his or her rival's possible moves is called
A) a win-win situation. B) cooperative coordination. C) cell-by-cell inspection. D) best-response analysis.
In the extended version of the circular flow model, money flows from
a. households to firms as payments for resources b. households to foreign economies as payments for exports c. government to firms as tax payments d. foreign economies to firms as payments for imports e. firms to households as payments for resources