During the 1990s many countries developed a monetary policy framework that focused on inflation targeting. This is an example of policymakers:
A. developing a new intermediate target that will effectively result in the final objective.
B. focusing exclusively on an intermediate target that will effectively result in the final bojective.
C. focusing on multiple numerical targets.
D. focusing directly on an objective.
Answer: D
You might also like to view...
BBQ to Go is a large fast food restaurant chain with franchises located throughout the United States. BBQ to Go's advertising will likely focus on which of the following?
A) promoting BBQ locations in a specific state B) promoting a successful BBQ to Go location in Denver, Colorado C) promoting the benefits of eating BBQ to Go sandwiches D) promoting a struggling BBQ to Go location in Denver, Colorado
What is another name for the natural unemployment rate?
a. Non-deteriorating low-inflationary unemployment (NDLIU) b. Natural rate of no-inflation unemployment (NRNIU) c. Non-accelerating-inflation rate of unemployment (NAIRU) d. Non-inflationary rate of low unemployment (NIRLU) e. Natural unaffected rate of inflationary unemployment (NURIU)
The Fed relies on open market operations, which work
a. with the Treasury in creating money to finance bonds. b. through major stock exchanges to influence bond prices. c. directly through the nonbank public to change their assets. d. through the banking system by affecting their reserves.
Many developing countries face a balance of payments constraint because:
A. they fail to implement exchange rate policy correctly. B. they hold too few international reserves. C. they hold too many international reserves. D. the IMF forces them to adopt policies that are counterproductive.