The European Central Bank aims to maintain price stability. They aim to keep inflation rates below, but close to, over the medium term:
(a) 3%.
(b) 2%.
(c) 1%.
(d) They don't have a pre-defined rate.
Answer: (b) 2%.
You might also like to view...
If the government conducts a survey asking it citizens how much they value having potholes filled in, we can expect
a. an accurate evaluation of the work. b. citizens to understate the value of the work. c. citizens to exaggerate the value of the work. d. most citizens to refuse to answer.
Both demand and supply curves usually have positive slopes.
Answer the following statement true (T) or false (F)
In simultaneous move Bayesian games, a player's beliefs are fully given by the probability distribution used by "Nature" to assign types.
Answer the following statement true (T) or false (F)
Which of the following is not a widely acknowledged problem with using the CPI as a measure of the cost of living?
a. substitution bias b. introduction of new goods c. unmeasured quality change d. unmeasured price change