Which of the following is an advantage to money targeting?
A) There is an immediate signal on the achievement of the target.
B) It does not rely on a stable money-inflation relationship.
C) It implies lack of transparency.
D) It implies smaller output fluctuations.
A
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The required reserve ratio is the minimum percentage of ________ that banks are required to hold by regulation
A) reserves as total assets B) deposits as total assets C) reserves as deposits D) deposits as reserves E) reserves as total liabilities
Poorly timed discretionary policy can do more harm than good. Getting the timing right with fiscal policy is generally
A) far less difficult than with monetary policy. B) about the same difficulty as with monetary policy. C) less difficult than with monetary policy. D) more difficult than with monetary policy.
Since the abandonment of the Bretton Woods system, balance of payments considerations have become ________ important, and exchange rate considerations ________ important in the conduct of monetary policy
A) more; less B) more; more C) less; less D) less; more
If you are “between jobs,” you are considered to be
a. frictionally unemployed. b. seasonally unemployed. c. cyclically unemployed. d. structurally unemployed.