Question 1: Price stability is the key monetary policy goal of almost every central bank in the world including the Reserve Bank of New Zealand. In this context: a. Price stability is defined as stable price levels b. Price stability is defined as low and stable inflation rates c. There is no difference between inflation targeting and price-level targeting d. If inflation is unexpectedly high this year, this would be followed by corrective action to bring inflation below target under an inflation targeting regime e. All of the above answers