A study by economists at the International Monetary Fund compared increases in inflation rates in countries with and without specific inflation targets based on the surge in oil prices in 2007.The results provide
A) no evidence that countries with specific inflation targets were any better off than countries without specific inflation targets.
B) evidence that countries with specific inflation targets actually experienced greater increases in inflation than did countries without specific inflation targets.
C) evidence that countries with specific inflation targets did experience lower increases in inflation than did countries without specific inflation targets.
D) evidence that countries with specific inflation targets experienced no increases in inflation, whereas countries without specific inflation targets experienced significant increases in inflation.

Question

Quizplus · Accepted Answer

The study by economists at the International Monetary Fund compared increases in inflation rates in countries with and without specific inflation targets based on the surge in oil prices in 2007. The results showed that countries with specific inflation targets experienced lower increases in inflation than did countries without specific inflation targets. Therefore, the best choice is C, which states that there is evidence that countries with specific inflation targets did experience lower increases in inflation than did countries without specific inflation targets.

A Study by Economists at the International Monetary Fund Compared