Either a Dual or Hierarchial Mandate Is Acceptable as Long

question 31

Multiple Choice

Either a dual or hierarchial mandate is acceptable as long as ________ is the primary goal in the ________.

• A)price stability;short run
• B)price stability;long run
• C)reducing business-cycle fluctuations;short run
• D)reducing business-cycle fluctuations;long run

---

Definitions:

Elasticity Coefficient

A measure that quantifies the responsiveness of the quantity demanded or supplied of a good to a change in one of its determinants, such as price.

Relative Change

The measure of change in a variable relative to its initial value, often expressed as a percentage.

Inelastic

Describes a situation where the quantity demanded or supplied of a good or service changes by a relatively small amount in response to changes in its price.

Quantity Demanded

The amount of a product or service consumers are willing and able to buy at a given price over a specified period of time.