MACROECONOMICS HELP NEEDED

QUESTION 7 An inflation target is O the difference between the current federal funds rate and the current real interest rate. Q what the rate of inflation equals when the real interest rate equals zero. 0 what the rate of inflation equals when the nominal interest rate equals zero. 0 the rate of inflation the central bank tries to maintain, on average, over the long run. QUESTION 8 Suppose that at the target inflation rate of 2.5 percent the nominal interest rate is 4 percent. This means that at the target inflation rate, the central bank wants the real interest rate to equal 0 6.5 percent 0 4.0 percent 0 2.5 percent 0 1.5 percent