In Recent Years,a Monetary Growth Rule Has Fallen Out of Favor

question 173

Multiple Choice

In recent years,a monetary growth rule has fallen out of favor because

• A)it is believed that active monetary policy destabilizes the economy and makes the business cycle worse.
• B)the growth rate of GDP has been highly unstable.
• C)the close relationship between movements in M1 and movements in real GDP has become weaker.
• D)the growth rate of M1 has become more stable.

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Definitions:

New Code of Laws

Revised or brand-new legislative measures that are established to govern specific areas, often replacing outdated or ineffectual rules.

Legal Rights

Legal rights are entitlements and protections granted to individuals under the law, which can include rights to property, fair trial, free speech, and privacy.

Abigail Adams

An influential figure in American history, wife of President John Adams, known for her early advocacy of women's rights and opposition to slavery.

Northwest Territory

A historic region northwest of the Ohio River that was established as the first organized territory of the United States in 1787, setting a pattern for future statehood.