Which of the Following Is a Problem for Monetary Policy

question 23

Multiple Choice

Which of the following is a problem for monetary policy in a currency union?

• A) Monetary policy will affect the economy with a longer lag than would be the case without the currency union.
• B) A "one size fits all" monetary policy may lead to interest rates being too high for some economies in the union, while being too low for others.
• C) Money supply is more difficult to control in a currency union than in an individual country.
• D) There is more than one central bank.

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Definitions:

Labor Disputes

Conflicts between employees and employers regarding working conditions, wages, and other employment terms, which can lead to negotiations, strikes, or other collective actions.

Union Membership

The status of being a member of a labor union, which represents workers in negotiations with employers over wages, working conditions, and other employment matters.

Workforce Composition

The demographic makeup of the employees in an organization, including aspects such as age, ethnicity, gender, and skill level.

Grievance Systems

Formal procedures within an organization allowing employees to lodge complaints or disputes for resolution, ensuring fair treatment in the workplace.