The "dual mandate" refers to the:
A. twin responsibilities of the Federal Reserve, to use monetary policy to ensure price stability and maintain full employment.
B. orders given to both the Federal Reserve and the Treasury department to ensure price stability.
C. responsibility given to the Federal Reserve and the Congress to conduct monetary and fiscal policy respectively, to ensure price stability.
D. role that the Fed has by being a governmental agency but also must act in the best interest of all citizens of the United States.
A. twin responsibilities of the Federal Reserve, to use monetary policy to ensure price stability and maintain full employment.
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Explain the distinction between investment and capital.
What will be an ideal response?
Which of the following shifts aggregate supply to the right?
a. a decline in the price of imported natural resources b. a technological advance c. an older labor force that leaves jobs less frequently d. All of the above are correct.
Figure 12.8 depicts an advertising game between two stores. Which of the following statements is correct?
A. Both stores have a dominant strategy. B. Neither store has a dominant strategy. C. Only Store A has a dominant strategy. D. Only Store B has a dominant strategy.
Refer to the table above. If planned investment is $18 billion, then at the $660 billion level of disposable income, there will be an:
The data below are for a private (no government) closed economy. All figures are in billions of dollars.
A. Unplanned increase in inventories of $12 billion
B. Unplanned increase in inventories of $30 billion
C. Unplanned decrease in inventories of $12 billion
D. Unplanned decrease in inventories of $30 billion