If a policy maker is convinced that time lags frequently negate ...

[jeatrice]

If a policy maker is convinced that time lags frequently negate the impact of short-run stabilization efforts, it is likely she would favor ________ policy making.
 
  A) nondiscretionary B) discretionary C) aggressive D) active

Question 2

Identify the correct definition of the federal funds rate.
 
  A) The federal funds rate is the interest rate at which the Fed lends money to households.
  B) The federal funds rate is the interest rate at which banks lend money to the Fed.
  C) The federal funds rate is the interest rate at which banks lend their deposits with the Fed to other banks.
  D) The federal funds rate is the interest rate at which the Fed lends money to business firms.

[ynlevi]

Answer to Question 1

A

Answer to Question 2

C

[jeatrice]

TYSM

[Perkypinki]

Gracias!