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Question
Inflation targets can increase the central bank's flexibility in responding to declines in aggregate spending. Declines in aggregate ________ that cause the inflation rate to fall below the floor of the target range will automatically stimulate the central bank to ________ monetary policy without fearing that this action will trigger a rise in inflation expectations.A. demand: tighten
B. demand; loosen
C. supply; tighten
D. supply; loosen
Answer
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Related questions
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The organization responsible for the conduct of monetary policy in the United States is the
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B. U.S. Treasury.
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D. Bureau of Monetary Affairs.
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C. falling money supplies.
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B. banks.
C. over-the-counter markets.
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B. since deregulation now provide services only to small depositors.
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A. consumption function
B. investment function
C. government spending and tax
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C. public choice theory.
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Q:
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Q:
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Q:
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