Which of the Following Is True with Respect to Inflation

question 53

Multiple Choice

Which of the following is true with respect to inflation targeting?

• A)Inflation targeting would allow the Fed more control over inflation caused by excessive aggregate demand.
• B)Inflation targeting would require the Fed to maintain very strong economic growth.
• C)Inflation targeting could control the inflation caused by higher oil prices.
• D)Inflation targeting would allow the Fed to have more control over the unemployment rate.

---

Definitions:

African-Americans

Citizens or residents of the United States who have total or partial ancestry from any of the Black racial groups of Africa, historically subjected to slavery and discrimination.

Earl Warren

An American jurist and politician who served as Chief Justice of the United States Supreme Court from 1953 to 1969, known for landmark decisions in civil rights and judicial reform.

Racial Segregation

The mandatory division of distinct ethnic groups within a nation, community, or institution.

Separate but Equal

A legal doctrine that justified and permitted racial segregation as long as the separate facilities were purported to be of equal quality.