Rational Expectations Theory Suggests That Government or Central Bank Policies

question 87

True/False

Rational expectations theory suggests that government or central bank policies designed to change aggregate demand will be effective.

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Definitions:

Implicit Leadership Theory

A concept suggesting that people have implicit beliefs and convictions about the attributes that distinguish leaders from non-leaders.

Leader Traits

The inherent qualities or characteristics that are thought to make an individual effective as a leader.

Leadership Effectiveness

Leadership effectiveness refers to the extent to which a leader successfully achieves desired outcomes through the direction, motivation, and inspiration of followers.

Leader Behaviours

Actions displayed by someone in a leadership position that influence the motivation, performance, or satisfaction of followers.