Which of the following statements is false? a. There is some evidence of negative correlation between central bank independence and inflation. But the benefits of the independence come at the cost of slower output growth. b. Housing starts are one of the leading indicators for the business cycle. c. Historically, the U.S. recession (from peak to trough) lasts about 11 months on average. d. In general, inflation is positively correlated with output gap. e. None of the above are false.
Which of the following statements is false? a. There is some evidence of negative correlation between central bank independence and inflation. But the benefits of the independence come at the cost of slower output growth. b. Housing starts are one of the leading indicators for the business cycle. c. Historically, the U.S. recession (from peak to trough) lasts about 11 months on average. d. In general, inflation is positively correlated with output gap. e. None of the above are false.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Which of the following statements is false?
a. There is some evidence of negative correlation between central bank independence
and inflation. But the benefits of the independence come at the cost of slower
output growth.
b. Housing starts are one of the leading indicators for the business cycle.
c. Historically, the U.S. recession (from peak to trough) lasts about 11 months on
average.
d. In general, inflation is positively correlated with output gap.
e. None of the above are false.
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