Author Question: Which of the following is NOT a basis for the Taylor-rule guideline for how the Federal Reserve ... (Read 18 times)

Chloeellawright

  • Hero Member
  • *****
  • Posts: 588
Which of the following is NOT a basis for the Taylor-rule guideline for how the Federal Reserve should set its target value for the federal funds rate?
 
  A) the current deviation of the actual inflation rate from the Fed's inflation objective
  B) the gap between actual real GDP and a measure of potential real GDP
  C) an estimated long-run real interest rate
  D) the present deviation of the actual unemployment rate from the Fed's unemployment objective

Question 2

Which of the following statements is true?
 
  A) There always exists some amount of unemployment in an economy.
  B) The unemployment in an economy normally increases at times of expansion and decreases at times of contraction.
  C) In almost every economy, each job opening is instantly filled by a qualified worker.
  D) The unemployment rate in an economy is constant over the long run.


whitcassie

  • Sr. Member
  • ****
  • Posts: 298
Answer to Question 1

D

Answer to Question 2

A



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question


 

Did you know?

About 80% of major fungal systemic infections are due to Candida albicans. Another form, Candida peritonitis, occurs most often in postoperative patients. A rare disease, Candida meningitis, may follow leukemia, kidney transplant, other immunosuppressed factors, or when suffering from Candida septicemia.

Did you know?

Critical care patients are twice as likely to receive the wrong medication. Of these errors, 20% are life-threatening, and 42% require additional life-sustaining treatments.

Did you know?

Aspirin is the most widely used drug in the world. It has even been recognized as such by the Guinness Book of World Records.

Did you know?

The immune system needs 9.5 hours of sleep in total darkness to recharge completely.

Did you know?

People who have myopia, or nearsightedness, are not able to see objects at a distance but only up close. It occurs when the cornea is either curved too steeply, the eye is too long, or both. This condition is progressive and worsens with time. More than 100 million people in the United States are nearsighted, but only 20% of those are born with the condition. Diet, eye exercise, drug therapy, and corrective lenses can all help manage nearsightedness.

For a complete list of videos, visit our video library