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Timing evidence is valid only if it is known that the first event is ____.
A) endogenous
B) exogenous
C) a leading indicator of the second event
D) a lagging indicator of the second event
Answer: B
Diff: 2 Type: MC Page Ref: 645 - 646
Skill: Recall
Objective List: 25.1 Express the different types of empirical evidence
Because ____ evidence is of a ____ nature, there is always the possibility of
reverse causation, in which output growth causes money growth.
A) historical; structural
B) statistical; structural
C) timing; structural
D) timing; reduced-form
Answer: D
Diff: 2 Type: MC Page Ref: 645 - 646
Skill: Recall
Objective List: 25.1 Express the different types of empirical evidence
If the movements of the level of the money supply and real output are perfectly coordinated
the growth rate of money ____.
A) will lead the level of real output
B) will move in synchronization with the level of real output
C) will lag the level of real output
D) can either lead or lag the level of real output
Answer: A
Diff: 2 Type: MC Page Ref: 645 - 646
Skill: Recall
Objective List: 25.1 Express the different types of empirical evidence
The monetarist statistical evidence examines the correlations between both ____ and
____ with ____.
A) money; aggregate spending; the unemployment rate
B) money; autonomous expenditures; the unemployment rate
C) money; consumption spending; aggregate spending
D) money; autonomous expenditures; aggregate spending
Answer: D
Diff: 3 Type: MC Page Ref: 645 - 646
Skill: Recall
Objective List: 25.1 Express the different types of empirical evidence