Assume that the inflation coefficient is negative in the Taylor rule, This implies that
A. there is an implicit monetary policy tradeoff between inflation and unemployment
B. the Fed will have to lower money supply whenever aggregate demand decreases
C. the Fed will not have to make adjustments in interest rates if output changes
D. the economy is likely to experience runaway inflation
E. all of the above
查看答案
The Taylor rule
A. allows for strict inflation targeting as long as the output coefficient is zero
B. should only be followed if the economy is growing strongly
C. suggests changes in money growth in response to changes in the inflation rate
D. does not allow for strict inflation targeting
E. implies a strict monetary growth rule
The Taylor rule
A. is an activist monetary policy rule
B. states that monetary growth should be decreased by 1% for every 1.5% increase in inflation
C. states that real interest rates should be increased by 0.5% for every 1% increase in inflation
D. both A) and B)
E. both A) and C)
According to the Taylor rule, if the current inflation rate is 2.8%, output is 2% below the full-employment level, and the central bank’s announced inflation target is 2%, at what level should the central bank set the nominal interest rate?
A. 0.028
B. 0.042
C. 0.052
D. 0.058
E. 0.068
According to the Taylor rule, if the central bank’s announced inflation target is 2%, the current inflation rate is 2%, and output is 1% below the full-employment level, at what level should the central bank set the nominal interest rate?
A. 0.01
B. 0.02
C. 0.035
D. 0.04
E. 0.055
微信支付 
支付宝支付