The effect on the monetary policy reaction curve resulting from policymakers decreasing their inflation target would be:
A. the monetary policy reaction curve shifting to the right.
B. the monetary policy reaction curve shifting to the left.
C. a movement up the existing monetary policy reaction curve.
D. a movement down the existing monetary policy reaction curve.
Answer: B
Economics
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Which of the following statements is true?
A) In the long run, a firm cannot vary any of its inputs. B) In the long run, a firm can vary all its inputs. C) In the short run, a firm cannot vary any of its inputs. D) In the short run, a firm can vary all its inputs.
Economics
In the figure above, in order to promote an efficient allocation of resources, the government could impose a tax equal to
A) zero. B) $250 per unit. C) $150 per unit. D) $100 per unit.
Economics