If households have information that monetary policy is likely to ...

[newyorker26]

If households have information that monetary policy is likely to change in the future, that information will play a role in forming ________.
 
  A) adaptive expectations
  B) rational expectations
  C) tertiary expectations
  D) non-adaptive expectations

Question 2

A government deficit occurs when
 
  A) the government spends more than what it gets in taxes.
  B) public goods are worth less than what was paid for them.
  C) a government loses an election.
  D) the government still has Treasury bonds to reimburse.

[rleezy04]

Answer to Question 1

B

Answer to Question 2

A

[newyorker26]

TYSM

[bulacsom]

Excellent