Other Things the Same,if the Central Bank Decreases the Rate

question 58

Multiple Choice

Other things the same,if the central bank decreases the rate at which it increases the money supply,then

• A)unemployment and inflation rise in the short run.
• B)unemployment rises and inflation falls in the short run.
• C)unemployment falls and inflation rises in the short run.
• D)unemployment and inflation fall in the short run.

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Definitions:

Neuroscientific

Pertaining to neuroscience, the scientific study of the nervous system, its structure, function, development, genetics, biochemistry, physiology, pharmacology, and pathology.

Psychometric

Referring to the field of study concerned with the theory and technique of psychological measurement, which includes the development and application of tests to measure abilities, attitudes, and personality traits.

Causal Relationships

A connection between two events where one is understood to be directly responsible for causing the other.

Dependent Variable

In an experiment, the variable being tested and measured, expected to change as a result of manipulations of the independent variable.