In actual practice, does the Fed monetize the debt?
A. No, it did not do so even with large deficits in the 1980s and early 2000s.
B. No longer, although it monetized much of the deficit in the 1980s.
C. Yes, although it monetizes less now than in the 1980s.
D. Yes, it has monetized the deficit steadily since the early 1970s.
Answer: A
You might also like to view...
Which of the following things does not have an objective cost?
A) Platinum B) Water C) Ski lift tickets D) Medical equipment E) None of the above has an objective cost.
Countries that have experienced sustained increases in their standard of living have achieved them because of
A) higher rates of saving and investment. B) higher rates of population growth. C) sustained technological change. D) All of the above are correct.
Open market operations refer to the purchase and sales of stocks listed on the New York Stock Exchange
a. True b. False Indicate whether the statement is true or false
The labor demand curve of a firm that sells its product in a purely competitive market:
A. Is horizontal or perfectly elastic B. Is downsloping and flatter than the labor demand curve of a firm that sells its product in an imperfectly competitive (or monopolistic) market C. Is upsloping D. Is downsloping and steeper than the labor demand curve of a firm that sells its product in an imperfectly competitive (or monopolistic) market