The aggregate supply/aggregate demand model is used to help understand...
What will be an ideal response?
inflation, business cycle fluctuations, and growth of potential GDP
You might also like to view...
The lag between the time that the need for fiscal action is recognized and the time action is actually taken is referred to as the
A. spending lag. B. implementation lag. C. legislative lag. D. recognition lag.
The Federal Open Market Committee's "balance of risks" is an assessment of whether, in the future, its primary concern will be
A) higher exchange rates or higher unemployment. B) higher inflation or a stronger economy. C) higher inflation or a weaker economy. D) lower inflation or a stronger economy.
Data on the unemployment rate in the U.S. since 1960 show that the unemployment rate sometimes is close to zero
a. True b. False Indicate whether the statement is true or false
Which is not something the Fed can do directly to conduct monetary policy?
A. Change the reserve requirement B. Change the exchange rate C. Change the discount rate D. Execute open market operations