A nominal variable,such as the inflation rate or the money supply,which ties down the price level to achieve price stability is called ________ anchor.
A)a nominal
B)a real
C)an operating
D)an intermediate

Question

Quizplus · Accepted Answer

A nominal variable, such as the inflation rate, is used to anchor the price level and achieve price stability. Real variables and operating variables do not serve this purpose, and intermediate variables may be used in the process but are not the final anchor.

A Nominal Variable,such as the Inflation Rate or the Money