Which of the Following Statements About Inflation Targeting Is True

question 30

Multiple Choice

Which of the following statements about inflation targeting is true?

• A) Inflation targeting would not allow the central bank the flexibility to take action against a severe recession.
• B) Inflation targeting has been adopted by the central banks of fewer than five countries.
• C) With changes in leadership over time at the Federal Reserve, inflation targeting could help institutionalize good U.S. monetary policy.
• D) Inflation targeting is practiced strongly in the United States but is ignored in Europe.

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Definitions:

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The process of systematically recording and maintaining information on interactions or communications with individuals or entities.

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An admonition to wait calmly for something to happen or be resolved.

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The process of moving up in professional rank or position, often accompanied by increased responsibilities, prestige, and salary.