Which of the Following Will Make It Difficult for the Fed

question 99

Multiple Choice

Which of the following will make it difficult for the Fed to institute shifts in monetary policy in a manner that will promote economic stability?

• A)the inability of the Fed to alter the money supply
• B)the long and variable time lags between shifts in monetary policy and impact on output and employment
• C)a velocity rate of money that is relatively constant
• D)the inability of the Fed to shift monetary policy without the approval of Congress

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