Gordon's plots of the effectiveness lags of monetary policy over the periods 1961-1975, 1976-1990, and 1991-2007 show the effectiveness lags have become ________ and the overall response of GDP to monetary policy has ________
A) shorter, decreased
B) shorter, increased
C) longer, decreased
D) longer, increased
C
You might also like to view...
Based on the figure above, which of the following factors could lead the demand curve to shift rightward from D0 to D1?
A) a fall in expected future U.S. exchange rate B) a fall in the U.S. exchange rate C) a rise in the U.S. interest rate D) a rise in the U.S. exchange rate E) a rise in foreign interest rates
The primary economic function of financial intermediaries is to help allocate scarce resources to desired uses.
Answer the following statement true (T) or false (F)
An increase in quantity demanded is caused by
A. a decrease in the price of the good. B. a decrease in the price of a complement. C. an increase in income. D. a change in expectations about price in the future.
Assume there are three hardware stores, each willing to sell one standard model hammer in a given time period. House Depot can offer their hammer for a minimum of $7. Lace Hardware can offer the hammer for a minimum of $10. Bob's Hardware store can offer the hammer at a minimum price of $13. Given the scenario described, if the market price of hammers increased from $9 to $13:
A. Lace Hardware Hardware's producer surplus would increase by $3. B. House Depot's producer surplus would increase by $4. C. Bob's Hardware's producer surplus would remain unchanged. D. All of these statements are true.