An Upward Shift in the Fed's Policy Reaction Function Is

question 129

Multiple Choice

An upward shift in the Fed's policy reaction function is a _____ of monetary policy, and the aggregate demand curve _______.

• A) tightening; shifts right
• B) easing; shifts right
• C) tightening; shifts left
• D) easing; shifts left

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Definitions:

Presidential Election

A process by which the president of a country or a similar executive position is elected, often involving a nationwide vote.

Popular Vote

The number of actual individual votes cast by citizens in an election, as distinguished from electoral college votes or other forms of indirect election.

Defeated

Having been overcome in a battle, competition, or other form of contest; to have lost.

Herbert Hoover

The 31st President of the United States, serving from 1929 to 1933, known for his administration’s response to the Great Depression.