In the short run, an expansionary monetary policy by the Fed ...

[future617RT]

In the short run, an expansionary monetary policy by the Fed would:
 a. reduce unemployment at the cost of higher inflation.
  b. reduce inflation at the cost of a rise in the natural rate of unemployment.
  c. reduce inflation and leave the natural unemployment rate unchanged.
  d. reduce both inflation and unemployment.
  e. increase both inflation and unemployment.

Question 2

If a price floor is not binding, then
 a. the equilibrium price is above the price floor.
  b. the equilibrium price is below the price floor.
  c. there will be a surplus in the market.
 d. Both (a) and (c) are correct.

[deja]

Answer to Question 1

a

Answer to Question 2

a

[future617RT]

Gracias!

[aruss1303]

Excellent