In 1979,when the Fed was deciding how aggressively to fight inflation,the typical estimate of the sacrifice ratio was
A)1.
B)5.
C)7.
D)10.

Name: In 1979,when the Fed was deciding how aggressively to fight inflation,the typical estimate of the sacrifice ratio was A)1. B)5. C)7. D)10.
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In 1979, the typical estimate of the sacrifice ratio was 5, meaning that for every 1 percentage point reduction in inflation, the Fed would have to sacrifice 5 percentage points of output.

In 1979,when the Fed Was Deciding How Aggressively to Fight