True / False:

1. Democratic societies delegate great authority over monetary policy to central banks primarily because of their expertise.

2. A simple monetary policy rule always dominates committee decisions as a means of setting effective monetary policy.

3. Provided its debt is exclusively dollar-denominated, the U.S. government can always finance deficits at zero cost through the Federal Reserve.

4. A central bank that acts aggressively to keep inflation close to its target naturally will keep output close to its potential.

5. In a monetary union with a single currency, cross-border financial integration is always compatible with financial stability.