Which school of thought believes that the Fed should seek to reduce inflation in a major, one-shot policy shift that's announced and credible?
A)New classical
B)New Keynesian
C)Real business cycle
D)Monetarist

Question

Quizplus · Accepted Answer

The New Classical school of thought advocates for a credible and announced one-shot policy shift to reduce inflation, emphasizing the importance of expectations and rational behavior in the economy.

Which School of Thought Believes That the Fed Should Seek