Because of policy lags in monetary policy, the Fed ________.

A. should base decisions only on what has already happened
B. should only focus on fiscal policy
C. must try to anticipate changes in the economy before they happen
D. should attempt to follow a pro-cyclical policy


Answer: C

Economics

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Economics

Suppose Ms. Sanchez has a total income of $200,000, has a taxable income of $120,000, and pays $40,000 in taxes. Considering the information, what is Ms. Sanchez's effective tax rate?

A. 33.3 percent. B. 60.0 percent. C. 25.0 percent. D. 20.0 percent.

Economics

Laws that make it illegal for firms to conspire to raise prices or reduce production are known as

A. antimonopoly laws B. all of these answers C. anti-collusion laws D. pro-competition laws E. antitrust laws

Economics

The most frequently used tool of monetary policy is

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Economics