When monetary policies result in a worsening of economic performance, the least likely explanation is ________

A) a political business cycle
B) changes in one or more key structural parameters of the economy
C) a policy-induced change in the expectations and behaviors of households and businesses
D) faulty interpretation of incomplete and ambiguous economic data


A

Economics

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Starting from long-run equilibrium, a large increase in government purchases will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.

A. expansionary; higher; potential B. recessionary; higher; potential C. recessionary; lower; lower D. expansionary; higher; higher

Economics

The largest institutional participants in capital markets are

A) pension funds. B) insurance companies. C) consumer finance companies. D) business finance companies.

Economics

Inc's stock is currently $50. The last dividend that they paid was $1. If dividends are expected to increase at a 10% annual rate, what is the firm's equity cost of capital?

What will be an ideal response?

Economics

For quasi-experiments,

A) there is a particularly important potential threat to internal validity, namely whether the "as if" randomization in fact can be treated reliably as true randomization. B) there are the same threats to internal validity as for true randomized controlled experiments, without modifications. C) there is little threat to external validity, since the populations are typically already different. D) OLS estimation should not be used.

Economics