The Central Banks of Many Developing Countries Choose to Pursue

question 61

True/False

The central banks of many developing countries choose to pursue policies that generate high levels of inflation, because the benefits of doing so seem to exceed the costs.

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Definitions:

Discrimination Coefficient

A statistical measure in economics or social science indicating the degree to which a variable, such as price or income, discriminates or differentiates between individuals or groups.

Wage Differential

Wage differential refers to the variation in wages between individuals, occupations, locations, or sectors due to factors like skill level, demand, or cost of living.

Nonpreferred-Race Workers

Employees who are perceived or categorized as belonging to a racial or ethnic group that is less favored or discriminated against within a societal or organizational context.