When conducting expansionary monetary policy, central banks have to keep in mind that
A)there is a conflict between keeping inflation low and economic activity high
B)unemployment can be lowered in the short run but at the cost of higher prices in the long run
C)spending on durable consumption goods will probably not be significantly affected
D)all of the above
E)only A and B

Question

Quizplus · Accepted Answer

The Answer is E

When Conducting Expansionary Monetary Policy, Central Banks Have to Keep