The commitment of central bankers to keep inflation below a certain rate for the next year or two is called _____
A) the inflation target.
B) the economic growth target.
C) the price target.
D) the discount rate.
E) an automatic stabilizer.

Question

Quizplus · Accepted Answer

The commitment of central bankers to keep inflation below a certain rate is called the inflation target. This is often expressed as a specific percentage or range of percentage increases in the consumer price index (CPI). The purpose of setting an inflation target is to promote price stability and maintain confidence in the economy.

The Commitment of Central Bankers to Keep Inflation Below a Certain