Which of the following would not be a reason that the RBA set a positive inflation target (^>0)

Select one:

a.

It is unlikely that the economy will experience deflation when the RBA target a positive inflation rate

b.

Having a positive inflation level will discourage consumption and thus prevent the economy from overheating

c.

There is greater scope to implement expansionary monetary policy with a positive inflation level

d.

Having a positive inflation level allows real wages to fall without employers having to cut nominal wages