Given the Following Formula for the Taylor Rule: ?Target Federal

question 26

Multiple Choice

 Given the following formula for the Taylor rule: ?Target federal funds rate = natural rate of interest + current inflation + ½(inflation gap) +½(output gap) ?Every one percent increase in the rate of inflation will: ?

• A) increase the real federal funds rate by 1.5%.?
• B) increase the target federal funds rate by 1.5%.?
• C) increase the real federal funds rate by 0.5%.?
• D) increase the target federal funds rate by 1.5% and increase the real federal funds rate by 0.5%.

Understand the rules for carrying forward unused capital losses.

Clarify the treatment of Section 1231 gains and losses under different scenarios.

Understand the treatment and classification of capital losses, including the specific conditions under which a worthless security is reported.

Comprehend the basis determination of property in various scenarios, especially relating to divorce and purchase situations.