Financial frictions are not a problem for the economy, since they do not affect the safe policy
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Financial frictions are not a problem for the economy, since they do not affect the safe policy rate which is controlled by the central bank.” Is this statement true, false, or uncertain? Explain your answer.
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False When financial frictions increase they lead to an increase in m...View the full answer
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Related Book For
Economics of Money Banking and Financial Markets
ISBN: 978-0134733821
12th edition
Authors: Frederic S. Mishkin
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