Question
When people are trying to predict the level of inflation that the central bank will choose, why would it be a mistake for them to
When people are trying to predict the level of inflation that the central bank will choose, why would it be a mistake for them to think that the central bank would choose its target level of inflation? Why is the inflation bias higher if the central bank cares a lot about reducing unemployment?
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It can be mentioned that it would not always be correct for the people to expect inflation rate at the target rate because of the following reasons 1 ...
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Data Analysis And Decision Making
Authors: Christian Albright, Wayne Winston, Christopher Zappe
4th Edition
538476125, 978-0538476126
