In the countries that have adopted inflation targeting,the inflation rate has typically
A)increased.
B)decreased.
C)decreased to zero.
D)not changed.

Question

Quizplus · Accepted Answer

Inflation targeting involves setting a target inflation rate and adjusting monetary policy to achieve that target. As a result, countries that have adopted inflation targeting have generally seen a decrease in inflation rates over time. This is because central banks use tools such as interest rate adjustments to control the money supply and limit inflationary pressures. While inflation may not reach zero in these countries, it should generally decrease from pre-inflation targeting levels.

In the Countries That Have Adopted Inflation Targeting,the Inflation Rate