A monetary policy rule is to discretionary monetary policy because. A. Superior; discretion limits what the

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A monetary policy rule is ______ to discretionary monetary policy because______.

A. Superior; discretion limits what the Fed can do in a financial crisis

B. Inferior; a rule makes it harder for people to forecast the inflation rate

C. Superior; a rule keeps inflation expectations anchored

D. Equivalent; the Fed uses its discretion to set the rule

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Foundations of Macroeconomics

ISBN: 978-0134492001

8th edition

Authors: Robin Bade, Michael Parkin

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Question Posted: May 22, 2018 12:56 AM

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A monetary policy rule is ______ to discretionary monetary policy because______. A. Superior; discretion limits what the

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C By stabilizing inflation expect...View the full answer

Foundations of Macroeconomics

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