According to the Taylor rule, when inflation and/or output is ...

[K@]

According to the Taylor rule, when inflation and/or output is above its target, then:
 
  a. the federal funds rate must be negative.
  b. the federal funds rate must be above its target.
  c. the federal funds rate must be above inflation.
  d. none of the above are correct.

Question 2

The U.S. economy experiences a public debt when the value of its annual deficits exceeds the value of its annual surpluses over an extended period of time.
 
  Indicate whether the statement is true or false

[harveenkau8139]

Answer to Question 1

C

Answer to Question 2

True

[K@]

Thanks for the timely response, appreciate it

[phuda]

Great answer, keep it coming