Price stability
A)Is defined as a 0 percent rate of inflation in the Full Employment and Balanced Growth Act of 1978.
B)Is targeted at a 3 percent rate of inflation by Alan Greenspan,the head of the Federal Reserve.
C)Has been officially set by Congress at 3 percent or less.
D)Has been achieved consistently in the 20th century in the United States.

Question

Quizplus · Accepted Answer

Price stability is often interpreted as a low and stable rate of inflation, and the Federal Reserve has aimed for an inflation rate of around 2 percent, not 3 percent. Congress has not officially set a specific target, but the Federal Reserve's target is generally accepted.

Price Stability