Opponents of inflation targets believe that _____
A) such targets will encourage workers to shirk work.
B) such targets will lead to unsustainable economic growth.
C) such targets will lead the Fed to pay less attention to jobs.
D) such targets will cause international competitiveness to be lost and the value of savings to be reduced.
E) such targets would prevent investors from investing in profitable ventures.

Question

Quizplus · Accepted Answer

Opponents of inflation targets argue that focusing strictly on inflation could lead the Federal Reserve (or any central bank) to prioritize controlling inflation over other economic objectives, such as maximizing employment. This could result in less attention being paid to job creation and unemployment issues.

Opponents of Inflation Targets Believe That _____