Proponents of Zero Inflation Argue That a Successful Program to Reduce

question 25

Multiple Choice

Proponents of zero inflation argue that a successful program to reduce inflation

• A)eventually reduces inflation expectations.
• B)eventually raises real interest rates.
• C)permanently decreases output.
• D)permanently raises unemployment.

---

Definitions:

Public Offering

The process of selling new issues of securities to the public, typically through the issuance of stocks or bonds.

Securities

Tradable assets indicating an equity stake in a company available on the public market, a lending relationship with either a governmental agency or a corporation (bond), or the rights to own shares as depicted by an option.