Much of the Strong Economic Performance Since the Mid-1980s Is

question 28

Multiple Choice

Much of the strong economic performance since the mid-1980s is attributed to successful Fed policy. Which of the following statements does not help explain that success?

• A) The stabilizing effect of monetary policy conducted in accordance with the Taylor rule
• B) A greater monetary response higher federal funds rates) to inflation threats since the mid 1980s than during the 1960s and 1970s
• C) A more accommodative monetary policy before the mid-1980s than afterward
• D) All of the above
• E) Only a and b

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Definitions:

P-waves

Primary waves that are the fastest type of seismic waves, capable of moving through both solid and liquid layers of the Earth.

Surface Waves

Seismic waves that travel on Earth’s surface.

Subduction Zone

A region of the Earth's crust where one tectonic plate moves under another, often leading to volcanic activity and earthquakes.

Continental Crust

The thick, buoyant part of the earth's crust that forms the continents and continental shelves, distinguished from the denser oceanic crust.