Why is a public announcement of numerical inflation rate objectives important to the success of an inflation-targeting central

Question

Margaret [11]

3 years ago

11

Why is a public announcement of numerical inflation rate objectives important to the success of an inflation-targeting central

bank?

Social Studies

1 answer:

Setler [38] · Answer 1 · 2022-02-14T13:36:51+03:00

Answer:It helps to reduce uncertainty in inflation expectations of market participants and the populase.

Explanation: INFLATION is the rise in the price of goods and services rendered within an Economy,it is mainly caused by shortages in supply or certain Government policies.

When the inflationary trends in numerical representation is made available to the populace and market participants it will help to curb the unnecessary uncertainty expressed by the populace or market participants. It will help to create stability and control panic.

Why is a public announcement of numerical inflation rate objectives important to the success of an​ inflation-targeting central​

Why is a public announcement of numerical inflation rate objectives important to the success of an inflation-targeting central