Instructions: This assignment will assess your skills and knowledge on Central Bank functions and monetary policy, with a focus on your ability to comprehend and propose solutions for economic challenges, such as stagflation. It will gauge your critical thinking, strategy development, and historical context application in addressing practical economic issues. Introduction In this assignment, you will leverage the historical context of the Volcker Shock to address current economic challenges, specifically stagflation. By crafting a monetary policy proposal you will gain practical insights into the roles and impact of Central Banks in managing economic outcomes. Your analysis will involve determining the suitability of expansionary or contractionary policies and their potential consequences for the economy. You will also propose specific monetary policy tools to combat stagflation, evaluating their effectiveness. Furthermore, you will critically assess the feasibility of employing money creation as a strategy and make informed decisions regarding the focus on narrow or broad money measures. Assignment Title: Comparative Economic Analysis for Economic Convergence In the early 1980s, an iconic monetary policy success story unfoldedthe Volcker Shock spearheaded by Paul Volcker, Chairman of the Federal Reserve. Confronted with the daunting issue of stagflationwhere high inflation coexisted with stagnant economic growthVolcker boldly