The best support against a 0% inflation target given by the economic literature is c. A 0% inflation target could lead to deflation.
<h3>Why is a 0% inflation target risky?</h3>
If 0% inflation is targeted, the policy might be so effective that inflation becomes negative and deflation happens.
When deflation happens, the economy will experience hardships with lower production levels that will impact other sectors of the economy.
Options for this question include:
a. It is undisputed that too little inflation interferes with the downward adjustment of real wages.
b. Moderate to high inflation is popular among consumers.
c. A 0% inflation target could lead to deflation
Find out more on deflation at brainly.com/question/13562161.
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Why so that saying did correct answe right I don’t know the answer I am just answering to see something about my points because they are negative and I am trying something
Answer:
takeoff
Explanation:
Is the third stageof economic development in which rapid economic growth occurs, theeconomy diversifies from few industries to several industries.
D. foreign real national income falls and wages rates rise.
