Author Question: Stagflation means a simultaneous decrease in the unemployment and inflation rates. a. True b. ... (Read 110 times)

Awilson837 · **on:** Jun 30, 2018

Stagflation means a simultaneous decrease in the unemployment and inflation rates.
a. True
b. False
Indicate whether the statement is true or false

Question 2

Assume a fixed demand for money curve and the Fed increases the money supply. In response, people will:
a. sell bonds, thus driving up the interest rate.
b. sell bonds, thus driving down the interest rate.
c. buy bonds, thus driving up the interest rate.
d. buy bonds, thus driving down the interest rate.