The Simple Monetary Policy Rule Discussed in the Chapter "Dictates

question 77

Multiple Choice

The simple monetary policy rule discussed in the chapter "dictates" the:

• A) optimal rate of inflation.
• B) choice of federal funds rate.
• C) marginal product of capital.
• D) natural rate of unemployment.
• E) None of these answers is correct.

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Definitions:

American Concept

Refers to ideals and values commonly associated with the United States, such as freedom, democracy, and individualism.

Principle of Utilitarianism

A moral principle that proposes the optimal action is the one that enhances overall happiness, commonly understood as the action that results in the highest level of well-being for the largest group of individuals.

Prejudice

The outcome of prejudging a person. Prejudice in communication is the unwillingness to listen to members of groups the listener believes are inferior, such as other ethnic groups or women; it can also take more subtle forms; how you feel as a result of the stereotypes you believe in.

Attitude

An evaluation of people, ideas, issues, situations, or objects.