If the current rate of inflation is 1 percent, using the values suggested by Professor Taylor, , the Taylor rule predicts a federal funds rate of ________ percent.
A) 0
B) 1.5
C) 1
D) 0.5
E) 3.5

Question

If the current rate of inflation is 1 percent, using the values suggested by Professor Taylor,  , the Taylor rule predicts a federal funds rate of ________ percent.
A) 0 
B) 1.5 
C) 1 
D) 0.5 
E) 3.5

Quizplus · Accepted Answer

The Answer of If the current rate of inflation is 1 percent, using the values suggested by Professor Taylor,  , the Taylor rule predicts a federal funds rate of ________ percent.
A) 0 
B) 1.5 
C) 1 
D) 0.5 
E) 3.5

If the Current Rate of Inflation Is 1 Percent, Using