Macroeconomic variables that the Fed cannot control directly but can influence fairly predictably, and which are related to the Fed's goals, are known as
A. instruments.
B. intermediate targets.
C. initial targets.
D. tools.
Answer: B
You might also like to view...
Which of the following most clearly indicates that fiscal policy is becoming more expansionary?
a. An increase in the budget deficit relative to GDP b. A reduction in the budget deficit relative to GDP c. An increase in the budget surplus relative to GDP d. An increase in the nominal (dollar) size of the budget deficit
In the 1990s, our productivity grew by about ____ percent.
A. 16 B. 21 C. 32 D. 38
U.S. and European immigration policies are best described as welcoming:
a. all foreign workers. b. foreign workers in most industries. c. foreign workers in select industries. d. no foreign workers.
An economy with an expansionary gap will, in the absence of stabilization policy, eventually experience a(n) ________ in the inflation rate, leading to a(n) ________ in output.
A. decrease; increase B. increase; increase C. decrease; decrease D. increase; decrease