Author Question: Rational expectations are more accurate than adaptive expectations, ________. A) on average B) ... (Read 86 times)

LaDunn

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Rational expectations are more accurate than adaptive expectations, ________.
 
  A) on average
  B) always
  C) because they require less information
  D) except when policies have changed

Question 2

A 10 million open market purchase will increase the monetary base by
 
  A) 10 million.
  B) 10 million times the money multiplier.
  C) 10 million divided by the money multiplier.
  D) an amount between 0 and 10 million, depending on the fraction of the purchase the public wishes to hold as currency.



Mollythedog

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Answer to Question 1

A

Answer to Question 2

A



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