The Argument Advanced by Milton Friedman for Adopting a Monetary

question 208

Multiple Choice

The argument advanced by Milton Friedman for adopting a monetary growth rule is that

• A)active monetary policy potentially destabilizes the economy.
• B)the Fed can control the money supply,but not the level of interest rates.
• C)a constant rate of growth in the money supply would eliminate the booms and recessions that make up the business cycle.
• D)the growth rate of M1 has been unstable.

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Definitions:

Protestant Christians

Followers of the branches of Christianity that originated from the Reformation in the 16th century, which protested against certain practices of the Catholic Church.

Mormons

Members of the Church of Jesus Christ of Latter-day Saints, a Christian religious group founded in the early 19th century in the United States by Joseph Smith.

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Religious teachings aimed at inspiring a reawakening of faith among believers, often associated with evangelical or charismatic movements.

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Initiatives aimed at making significant changes in societal structures, including political, religious, or educational systems, to address perceived injustices or inefficiencies.