1.

Which of the following is NOT an unconventional monetary policy tool?

A.

Purchases of short-term treasury securities by the central bank

B.

Guidance about future policy actions by the central bank

C.

Corporate bond purchases by the central bank

D.

Quantitative easing

2.

Which of the following statements about central bank independence is true?

A.

An independent central bank is less subject to "inflationary bias"

B.

An independent central bank is more transparent and accountable

C.

An independent central bank typically has a wider set of policy instruments

D.

All of these statements are true

3.

Which of the following statements about central bank objectives are true?

A.

Central banks can have several objectives, but their actions need to provide a "nominal anchor" for the economy

B.

In principle, one of the goals of a central bank could be to slow down climate change

C.

A strict inflation target is a way to provide a "nominal anchor" for the economy

D.

All statements are true