One Surprising Insight from Viewing Policy as a "Game" Is

question 19

Multiple Choice

One surprising insight from viewing policy as a "game" is that

• A)central bankers should project an image of being conservative on economic policy matters, regardless of their personal views.
• B)it is more difficult to control inflation when the central bank is highly independent.
• C)uncertainty over the impact of policy makes little difference in designing an optimal policy.
• D)money growth has little or no impact on inflation in the long run.
• E) decreasing money growth may substantially increase the rate of inflation in the long run.