Actual Inflation Would Be 2% When Expected Future Inflation Is

question 32

Multiple Choice

Actual inflation would be 2% when expected future inflation is ________,output-gap inflation is ________,and supply-shock inflation is ________.

• A)2%; 2%; 2%
• B)2%; 0%; -2%
• C)2%; 0%; 0%
• D)1%; 1%; 1%
• E)0%; 0%; -2%

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Definitions:

Board of Directors

A group of individuals elected to represent shareholders and govern the organization by establishing policies and making decisions on major company issues.