The main determinant of how quickly expected inflation adjusts to changes in monetary policy is
A) the slope of the Phillips curve.
B) the slope of the short-run aggregate supply curve.
C) the credibility of the central bank.
D) the degree of indexation in the economy.
C
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In deciding whether to study for an economics quiz or go to a movie, one is confronted by the idea(s) of
A. scarcity and opportunity costs. B. complementary economic goals. C. full production. D. money and real capital.
Differentiate between a pure strategy and a mixed strategy
What will be an ideal response?
Of the groups listed below, which is most likely to lobby for protection?
A) workers in importing industries B) workers in exporting industries C) consumers of imported goods D) producers in exporting industries
Politicians and economists who are generally conservative tend to believe that
A. the self-correcting mechanism is slow and unpredictable. B. the short-run Phillips curve is relatively steep. C. the costs of unemployment are high. D. expectations in reaction to policy measures are very slow to change.