One Reason for Having a Monetary Policy Framework Is

question 9

Multiple Choice

One reason for having a monetary policy framework is:

• A)It makes clear what specific goals the central bankers are pursuing
• B)It provides leeway for central bankers to change their goals without communicating the change and disrupting financial markets
• C)It provides central bankers the secrecy needed to perform their jobs effectively
• D)It can make goal setting vague enough so that the central bankers can always claim success

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Definitions:

Concern For People

This term reflects the degree to which a management or leadership approach prioritizes the well-being, needs, and interests of its employees or members.

Six Sigma

Systems approach to quality management providing training for employees and managers in statistical analysis, project management, and problem-solving methods to reduce the defect rate of products.

Defect Free

A state or condition where a product, service, or process is free of flaws, errors, or deficiencies, meeting all specified requirements.

Six Sigma

A methodological approach aimed at improving processes by identifying and eliminating defects.