Question: Which one is not correct when Central Bank is targeting inflation increase the rate of inflation, enhance the credibility of monetary policy, reduce the sacrifice

Which one is not correct when Central Bank is targeting inflation

  1. increase the rate of inflation, enhance the credibility of monetary policy, reduce the sacrifice ratio associated with contractionary monetary policy, help to attract foreign investment.
  2. reduce the rate of inflation, enhance the credibility of monetary policy, reduce the sacrifice ratio associated with contractionary monetary policy, help to attract foreign investment.
  3. reduce the rate of inflation, enhance the credibility of monetary policy, reduce the sacrifice ratio associated with contractionary monetary policy, help to reduce foreign investment.
  4. All of the above

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