Interest Rate Targeting May Be Problematic When

Interest rate targeting may be problematic when

A) the central bank cannot distinguish shocks to money supply from shocks to money demand.
B) there is a large fraction of borrowers in the economy.
C) the central bank cannot distinguish shocks to money demand from shocks to total factor productivity.
D) there is a large fraction of lenders in the economy.
E) the central bank engages in open market operations.