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The Federal Reserve, Like Other Central Banks, Considers the Role

Question 4

Multiple Choice

The Federal Reserve, like other central banks, considers the role of monetary policy to be one of


A) maintaining low and stable inflation.
B) achieving a targeted level of real GDP and unemployment over the long run.
C) maintaining a constant level of long-run monetary growth, thus keeping inflation in check.
D) influencing real GDP and unemployment in the short run.
E) both a and d.

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