By engaging in quantitative easing, the Fed is attempting to ...

[burchfield96]

By engaging in quantitative easing, the Fed is attempting to reduce the ________, causing the MP curve to ________.
 
  A) term premium and the real interest rate; shift down
  B) unemployment rate and the inflation rate; shift down
  C) short-term nominal and real interest rates; shift up
  D) federal funds rate; shift up

Question 2

In real business cycle models, a change in willingness to work ________.
 
  A) is associated with productivity shocks
  B) causes a shift of the aggregate demand curve
  C) would violate the market-clearing assumption
  D) has no effect on potential output

[mmj22343]

Answer to Question 1

A

Answer to Question 2

A

[burchfield96]

Thanks for the timely response, appreciate it

[bigcheese9]

Excellent