Economics Mcqs
Q People are said to have rational expectations if they ?
  • A A. Assume that this year’s inflation rate will be the same as last year’s inflation rate
  • B B. Merely guess at the inflation rate.
  • C C. Assume that this year’s inflation rate will be equal to the average inflation rate over the past 10 years
  • D D. Use all available information in forming their expectations.
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