Which of the Following Issues Is a Concern That Critics

question 49

Multiple Choice

Which of the following issues is a concern that critics express about the use of an inflation- control target?

• A)The policy control rests in the hands of civil servants rather than in the hands of elected officials.
• B)Monetary policy tends to be sensitive to the state of employment while focusing on inflation control targets.
• C)It encourages a focus on real GDP growth at the expense of employment and of inflation.
• D)It encourages a focus on inflation at the expense of employment and real GDP growth.
• E)The policy control rests in the hands of elected officials rather than in the hands of civil servants.

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Definitions:

Issued

Refers to the process whereby a company distributes shares to shareholders, which can include both the initial offering to the public and subsequent offerings.

Premium

An additional amount paid over the normal cost, often associated with insurance or bonds.

Discount

In finance, this is the reduction from the face value of a note, bond, or other financial instrument; in commerce, it refers to a reduction from the regular price.

Journal Entry

A documentation of a financial transaction in which the total debits equal the total credits and is entered into the accounting records.