Monetary Policy

question 47

Multiple Choice

Monetary policy

• A)can be implemented quickly and most of its impact on aggregate demand occurs very soon after policy is implemented.
• B)can be implemented quickly,but most of its impact on aggregate demand occurs months after policy is implemented.
• C)cannot be implemented quickly,but once implemented most of its impact on aggregate demand occurs very soon afterward.
• D)cannot be implemented quickly and most of its impact on aggregate demand occurs months after policy is implemented.

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Definitions:

Personal Capital

Financial assets or investments owned by an individual, contributing to their net worth.

Compensating Differentials

Wage differences across jobs that reflect the desirability of the job attributes, compensating workers for job inconveniences or hazards.

Distributional Justice

The ethical principle concerned with the fair allocation of goods, wealth, or resources among individuals in a society.

John Rawls

An American philosopher known for his theory of justice and contributions to political and moral philosophy.