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Free CFA Economics Practice Questions & Answers

2,050 exam-style Economics questions. Pick your answer, hit Check answer, and see the worked solution — free to start, no signup.

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Question 1741

Transparency helps central banks by:

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Question 1742

Inflation reports typically include:

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Question 1743

Inflation reports also include:

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Question 1744

Inflation reports include forecasts for:

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Question 1745

Exchange-rate targeting involves:

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Question 1746

Exchange-rate targeting requires the central bank to:

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Question 1747

A country may target its exchange rate to:

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Question 1748

Contractionary monetary policy involves:

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Question 1749

Expansionary monetary policy involves:

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Question 1750

Whether policy is contractionary or expansionary depends on:

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Question 1751

The neutral rate is the rate that:

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Question 1752

The neutral rate consists of:

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Question 1753

Economists disagree on the neutral rate because:

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Question 1754

If policy rates are below the neutral rate, monetary policy is:

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Question 1755

If policy rates are above the neutral rate, monetary policy is:

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Question 1756

Money neutrality means that in the long run:

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Question 1757

Central banks believe money is not neutral in the short run because:

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Question 1758

Higher policy rates reduce net external demand by:

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Question 1759

A stronger currency tends to:

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Question 1760

Expectations matter because:

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Question 1761

Exchange-rate targeting is more common in:

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Question 1762

A risk of exchange-rate targeting is:

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Question 1763

Contractionary monetary policy is used when:

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Question 1764

Expansionary monetary policy is used when:

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Question 1765

The FOMC meets approximately every:

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Question 1766

The fed funds target can be changed between meetings:

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Question 1767

Higher policy rates increase the penalty for banks that:

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Question 1768

Raising reserve requirements forces banks to:

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Question 1769

Lower reserve requirements:

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Question 1770

The money multiplier is larger when:

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Free CFA Economics Practice Questions & Answers

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Before you go, can we ask you one thing?

Thank you