Which of the Following Statements Is Likely to Be Made

question 92

Multiple Choice

Which of the following statements is likely to be made by an economist who believes in activist monetary policy? (1) The more closely monetary policy can be designed to meet the particulars of a given economic environment,the better.(2) Because of long and uncertain time lags,activist monetary policy may be destabilizing rather than stabilizing.(3) There is sufficient flexibility in wages and prices in modern economies to allow the economy to equilibrate in reasonable speed at the natural level of Real GDP.(4) The "same-for-all-seasons" monetary policy is the way to proceed.(5) There is evidence that monetary policy in the mid-1970s caused a recession.

• A) (1),(2),and (3)
• B) (1),(4),and (5)
• C) (1)and (5)
• D) (4)and (5)
• E) (1),(3),and (4)

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Definitions:

The Origin of Species

A seminal book by Charles Darwin published in 1859, formally introducing the scientific theory of evolution by natural selection.

Scientific Contribution

The addition of knowledge, findings, or innovations to a specific field or discipline by a researcher or group of researchers.

Charles Darwin

A British naturalist, who is best known for his contributions to the theory of evolution and his proposal of natural selection as a mechanism for evolution.

Alfred Russel Wallace

A British naturalist, explorer, geographer, and biologist known for independently conceiving the theory of evolution through natural selection.