-Which of the following statements best describes a decision by policy-makers that moves the economy from point b to point a?
A)Policy-makers are using an easy money policy and/or a budget deficit, thereby accepting more unemployment to reduce the inflation rate.
B)Policy-makers are using a tight money policy and/or a budget surplus, thereby accepting a higher inflation rate to reduce unemployment.
C)Policy-makers are using an easy money policy and/or a budget deficit, thereby accepting a higher inflation rate to reduce unemployment.
D)Policy-makers are using a tight money policy and/or a budget surplus, thereby accepting more unemployment to reduce the inflation rate.
E)Policy-makers are using an easy money policy and/or a budget surplus, thereby accepting more unemployment to reduce the inflation rate.

Question

-Which of the following statements best describes a decision by policy-makers that moves the economy from point b to point a?
A)Policy-makers are using an easy money policy and/or a budget deficit, thereby accepting more unemployment to reduce the inflation rate. 
B)Policy-makers are using a tight money policy and/or a budget surplus, thereby accepting a higher inflation rate to reduce unemployment. 
C)Policy-makers are using an easy money policy and/or a budget deficit, thereby accepting a higher inflation rate to reduce unemployment. 
D)Policy-makers are using a tight money policy and/or a budget surplus, thereby accepting more unemployment to reduce the inflation rate. 
E)Policy-makers are using an easy money policy and/or a budget surplus, thereby accepting more unemployment to reduce the inflation rate.

Quizplus · Accepted Answer

Policy-makers are using an easy money policy and/or a budget deficit, thereby accepting a higher inflation rate to reduce unemployment.

-Which of the Following Statements Best Describes a Decision by Policy-Makers