If the Federal Reserve Decreases the Rate at Which It

question 182

Multiple Choice

If the Federal Reserve decreases the rate at which it increases the money supply, then unemployment is higher

• A)in the long run and the short run.
• B)in the long run but not in the short run.
• C)in the short run but not in the long run.
• D)in neither the short run nor the long run.

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Definitions:

Behaviour Therapy

A type of psychotherapy that focuses on changing undesirable behaviors through conditioning, without delving deeply into past underlying conflicts.

Systematic Desensitization

A therapeutic technique used to reduce fear or anxiety by gradually exposing the patient to the feared object or context.

Classical Conditioning

The procedure of acquiring skills by associating a stimulus occurring in one's environment with a naturally arising stimulus, prompting a learned reaction.

Operant Conditioning

A method of learning that occurs through rewards and punishments for behavior, encouraging the occurrence of desired behaviors.