18.Macro-prudential policy refers to which of the following?

(a) Use of prudential regulations to influence the level of PAE in an economy.

(b) Use of prudential regulations to implement fiscal policy.

(c) Use of prudential regulations to try and reduce the likelihood of a financial crisis.

(d) Use of prudential regulations to implement monetary policy.

(e) None of the above

19.Suppose an economy has a nominal GDP of $60 billion and the velocity of circulation of money is 5. What is the money stock in this economy?

(a) $60 billion

(b) $20 billion

(c) $12 billion

(d) $10 billion

(e) $5 billion

20.In the country of Genovia, the money supply at the end of 2015 is 200 Genoves and at the end of 2016 is 450 Genoves. According to the quantity theory of money, what is inflation rate in 2016?

(a) -56 percent

(b) 115 percent

(c) 120 percent

(d) 125 percent

(e) 225 percent