Which of the Following Is Not True with Respect to Inflation

Which of the following is not true with respect to inflation targeting?

A) The Fed could lose credibility is the inflation rate deviates substantially from the Fed's target inflation rate.
B) A complete focus on inflation could result in a much higher unemployment rate.
C) Inflation targeting may not only satisfy the inflation goal, but could also achieve the employment stabilization goal in the long run.
D) If unemployment is slightly higher than normal, while inflation is at the peak of the target range, and inflation targeting approach would like advocate a loose monetary policy.