One Similarity Between the Policy Recommendations of the New Classical

question 20

Multiple Choice

One similarity between the policy recommendations of the new classical and monetarist models is that

• A)both believe that monetary policy has much stronger employment effects than does fiscal policy.
• B)are policy activists.
• C)both believe in the natural rate of output.
• D)both believe that discretion is preferable to rules.
• E)none of the above.

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Definitions:

Suprachiasmatic Nucleus

A small region in the brain located in the hypothalamus, responsible for controlling circadian rhythms.

Intergeniculate Leaflet

The intergeniculate leaflet is a small structure located between the lateral geniculate nucleus of the thalamus, involved in regulating circadian rhythms and visually related information processing.

Retinohypothalamic Tract

Neural route formed by axons of photosensitive retinal ganglion cells (pRGCs) from the retina to the suprachiasmatic nucleus; allows light to entrain the SCN’s rhythmic activity.