An Opponent of Monetary Policy Decisions by Rule Would Point

question 104

Multiple Choice

An opponent of monetary policy decisions by rule would point to which of the following as support of his case?

• A)time inconsistency of policy
• B)flexibility to confront unforeseen circumstances
• C)political business cycle
• D)the ability to craft rules that account for all possible contingencies in advance

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Definitions:

Enlightenment Thinkers

Intellectuals of the Enlightenment period who advocated for reason, science, and secularism as the paths to knowledge, freedom, and progress.

Individual

A single human being distinct from a group, society, or community.

Ideologies

A framework of thoughts and principles, specifically one that establishes the foundation for policies and theories in politics or economics.

Ruling Class

The social class that decides upon and sets the major policies, owning the majority of wealth, and holds the primary power in a society.