To Eliminate a Recessionary Gap the Fed Typically Uses __________

question 48

Multiple Choice

To eliminate a recessionary gap the Fed typically uses __________ monetary policy,and to eliminate an inflationary gap the Fed typically uses __________ monetary policy.

• A) expansionary; expansionary
• B) expansionary; contractionary
• C) contractionary; contractionary
• D) contractionary; expansionary

---

Definitions:

Cognitive Change

The transformation or evolution in mental processes like thinking, reasoning, and remembering over time.

Applied Research

Research aimed at solving practical problems or answering specific questions rather than gaining theoretical knowledge; it has direct, immediate application.

Theoretical Research

Research based on theoretical concepts and frameworks, often without immediate practical application.

Evolutionary-response Research

A field of study examining how organisms adapt to environmental changes over generations through genetic variations and behaviors.