Ultimate access to all questions.
Explanation:
The BIS report explicitly states that the primary long-term objective of monetary policy should be maintaining price stability, typically defined as low and stable inflation (e.g., around 2%).
A is incorrect: The BIS report emphasizes the importance of price stability for long-term growth, not at all costs.
C is incorrect: While exchange rates can be a consideration, price stability is the primary objective.
D is incorrect: While monetary policy can influence unemployment, it's not a direct control mechanism, and price stability is the primary mandate.
No comments yet.
Q.6374 According to the BIS Annual Economic Report 2024, which of the following is a key long-term objective of monetary policy?
A
Maximizing short-term economic growth.
B
Maintaining price stability, typically defined as low and stable inflation.
C
Targeting specific exchange rate levels to promote exports.
D
Directly controlling unemployment rates through interest rate adjustment