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How do loose links and long and variable lags influence the Fed's monetary policy? A. The long-term real interest rate that influences spending plans is
How do loose links and long and variable lags influence the Fed's monetary policy? A. The long-term real interest rate that influences spending plans is linked tightly to the federal funds rate. B. Loose links between the federal funds rate and policy goals make unwanted policy outcomes inevitable. C. Short-term interest rates are slow to change in response to a change in the federal funds rate. D. The Fed experiences a monetary policy transmission process that is extremely predictable
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