What would likely be the short-term impact on a country's inflation rate if the central bank significantly increases the money supply? A. The inflation rate would decrease. B. The inflation rate would remain unchanged. C. The inflation rate would increase. D. The inflation rate would initially increase, then sharply decrease.

What is the inflation rate? Year Money supply GDP Assume that the velocity of money is constant. (Write your answer in percentage. If your answer is 0.0222, write 2.22.) 2015 1,200 12,000 2016 1,220 12,550

If the Bank of Canada wanted to reduce inflation, it could Select one: a. increase the reserve requirement or implement an open market sale. b. increase the reserve requirement or implement an open market purchase. c. decrease the reserve requirement or implement an open market purchase. d. decrease the reserve requirement or implement an open market sale.

9) Explain why inflation may tend to accelerate.

What happens when a central bank pursues inflation targeting?     A. The policy actions that central banks use to achieve the inflation target are kept secret.   B. With inflation targeting, the United States would be more successful at achieving low and stable inflation.   C. Many central banks achieve their inflation target at the expense of extremely high unemployment.   D. The bank announces an explicit inflation target and the public is confident the bank's policy will achieve that target. thank you!!

1. What are the main reasons that the U.S. inflation surged last year? 2. What is the monetary policy the Fed (central bank of the U.S.) uses to control inflation? 3. How did the monetary policy cause the bankruptcy of Silicon Valley Bank?

What do monetarists predict will happen in the short run and in the long run as a result of each of the following? (In each case assume the economy is currently in long-run equilibrium). (a) Velocity rises. (b) Velocity falls. (c) The money supply rises. (d) The money supply falls.

a) Chose a tool the Central Bank (the Fed) might use to fight inflation. b) How would it be use? c) How would it cause inflation to fall?

The Fed increases the amount of OMO purchases: a)Inflation increases b)Inflation decreases c)Inflation stays the same d)Can't tell

What happens when a central bank pursues inflation targeting?     A. The policy actions that central banks use to achieve the inflation target are kept secret.   B. With inflation targeting, the United States would be more successful at achieving low and stable inflation.   C. Many central banks achieve their inflation target at the expense of extremely high unemployment.   D. The bank announces an explicit inflation target and the public is confident the bank's policy will achieve that target.