If the Monetary Policymaker Keeps Trying to Keep Output Above

question 11

Multiple Choice

If the monetary policymaker keeps trying to keep output above the natural rate

• A) inflation will remain high.
• B) wages will continue to rise.
• C) output will return to the natural rate.
• D) all of the above.

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Definitions:

Empathetic Listening

The skill of understanding and sharing the feelings of another person by fully concentrating on their words and emotional expressions.

Clarifying

The process of making a statement or situation less confused and more comprehensible.

70/30 Principle

A guideline suggesting that effective communication should involve roughly 70% listening and 30% talking.

Active Listeners

Individuals who make a conscious effort to hear not only the words that another person is saying but, more importantly, to understand the complete message being communicated.