Ball's research on disinflation across different countries found that
A)costs of disinflation were smaller for rapid disinflation than for gradual disinflation.
B)costs of disinflation were larger for rapid disinflation than for gradual disinflation.
C)costs of disinflation were about the same for both rapid and gradual disinflation.
D)costs of disinflation were smaller when the Central Bank had a strong inflation-fighting reputation.

Question

Quizplus · Accepted Answer

Ball's research indicated that rapid disinflation tends to have smaller costs compared to gradual disinflation, as it can quickly anchor expectations and reduce inflation inertia.

Ball's Research on Disinflation Across Different Countries Found That