Bull78 wrote:
Many financial experts believe that policy makers at the Federal Reserve, now viewing the economy as balanced between moderate growth and low inflation, are almost certain to leave interests rates unchanged for the foreseeable future.
A. Reserve, now viewing the economy as balanced between moderate growth and low inflation, are
B. Reserve, now viewing the economy to be balanced between that of moderate growth and low inflation and are
C. Reserve who, now viewing the economy as balanced between moderate growth and low inflation, are
D. Reserve, who now view the economy to be balanced between that of moderate growth and low inflation, will be
E. Reserve, which now views the economy to be balanced between moderate growth and low inflation, is
If you want to create a standard approach to solve these types of questions, make sure you identify the parts of speech. Isolate the subject first, your life will be easier.
Notice that there is a phrase between commas, removing which also makes the sentence logical. So remove it and simplify. Now the original sentence is:
Many financial experts believe that policy makers at the Federal
Reserve are almost certain to leave interests rates unchanged for the foreseeable future.
You see the mistake? The subject is "policy makers" [plural] so verb should be "are". Eliminate E.
Now coming to the phrase between the commas. It is modifying phrase talking about the subject closest to the comma, which is "Federal Reserve". In C and D, "who" is used with Federal Reserve, which is incorrect. Now we are left with A and B.
The idiomatic usage is "between X and Y" where X and Y have to be parallel. In B, it is not. In B, X = "that of moderate growth" and Y = "low inflation". Do not agree...
thus the correct answer is A.