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Question
Which equation best represents the Taylor rule?a. i=r*+πT+{w1× [(Y−Y*)/Y*] × 100} + [w2× (π −πT)]
b. i=r*+π +{w1× [(Y−Y*)/Y*] × 100} + [w2× (π − πT)]
c. i=r+πT+{w1× [(Y−Y*)/Y*] × 100} + [w2× (π −πT)]
d. i=r+π +{w1× [(Y−Y*)/Y*] × 100} + (w2× π)
Answer
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