Brainly Which of the Following Facts Supports Inflation Targeting
It creates a demand-supply gap with higher demand and lower supply which results in higher prices. The advantages of inflation. 2 A There is simplicity and clarity of the target. . 27 2020 that it would allow a target inflation rate of more than 2 if that would help ensure maximum employment. Central bank the Federal Reserve has set a target of 2 as measured by the core inflation rate. There are five main elements to inflation targeting. Which of the scenarios best reflects the meaning of the term inflation targeting. It still seeks a 2 inflation over time but its willing to allow higher rates if inflation has been low for a while. B inflation targets could impose a rigid rule on policymakers. Which of the following features of inflation targeting is used as a criticism by advocates of the Taylor rule. Inflation is viewed as a positive when it helps boost consumer demand and consumption driving economic gr
