What is inflation targeting and how do well-anchored inflation expectations help to achieve more stable output as

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What is inflation targeting and how do “well-anchored inflation expectations” help to achieve more stable output as well as low inflation?

Inflation targeting promotes well-anchored inflation expectations, which facilitates more effective stabilization of output and employment. Thus inflation targeting can deliver good results with respect to output and employment as well as inflation.

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Microeconomics Canada In The Global Environment

ISBN: 9780321931184

9th Edition

Authors: Robin Bade, Michael Parkin

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Question Posted: Dec 15, 2022 02:15 AM

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What is inflation targeting and how do well-anchored inflation expectations help to achieve more stable output as

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In flation targeting is an economic policy in which a central bank has an explicit target f...View the full answer

Microeconomics Canada In The Global Environment

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