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Reptor Reptor
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5 years ago
All of the following arguments are made against inflation targeting EXCEPT
A) rigid numerical targets would diminish the flexibility of monetary policy.
B) the Fed would need to depend on future forecasts of inflation since monetary policy acts with a lag.
C) the Fed has little influence on inflation.
D) holding the Fed accountable for low inflation may make it difficult for elected officials to monitor whether the Fed is supporting good overall economic policy.
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Money, Banking, and the Financial System

Money, Banking, and the Financial System


Edition: 3rd
Authors:
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pepebillypepebilly
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5 years ago
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