The central bank in the New Keynesian model pursues a policy of
A) fixed money supply.
B) inflation between 2 and 3%.
C) zero inflation.
D) targeting the market interest rate.
D
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_____________ refers to the health and happiness of the total person, involving body, mind, and spirit and includes measures of life expectancy, health, and education
a. Psychographics b. Well-being c. Positive sociology d. Assimilation
If the consumer price index (CPI) is 160 one year and 175 the next, the annual rate of inflation as measured by the CPI is approximately _____
a. 4.5 percent b. 8.6 percent c. 9.4 percent d. 15 percent e. 175 percent
In the past 100 years the U.S. economy has primarily experienced
a. deflation. b. unemployment. c. inflation. d. depression.
In which situation are transaction costs most likely to be the lowest?
A) Rodney buys antiques; he is currently looking for an eighteenth-century table. B) Cathy is looking for someone who is willing to trade accounting services (in return) for law services. C) Rodriguez wants to buy a house with two master bedrooms. D) Melinda wants to buy a McDonald's Big Mac (she will not be asking for a special order).