Which of the following events or trends from the 1970s and 1980s does not help to explain the failure of using monetary aggregates as intermediate targets?
A) oil price shocks
B) the creation of new monetary instruments which brought about new, broader measures of the money supply
C) the invention of automatic teller machines
D) legislative and regulatory changes allowing increased financial competition
E) the widespread adoption of computers throughout the banking industry

Question

Quizplus · Accepted Answer

The widespread adoption of computers throughout the banking industry does not directly relate to the failure of using monetary aggregates as intermediate targets. The other options involve changes in financial instruments, regulations, and economic conditions that affected the stability and predictability of monetary aggregates.

Which of the Following Events or Trends from the 1970s