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A Key Issue in the Present Disagreement Between Keynesian and Monetarist

Question 28

Multiple Choice

A key issue in the present disagreement between Keynesian and monetarist economists is whether


A) monetary policy can bring the economy to full employment.
B) the economy is better off with policy makers adopting a strict rule or using their discretion to set policies.
C) monetary policy can influence interest rates.
D) fiscal policy involves the use of taxation.
E) federal budgets must be financed.

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