1.

I. The Central Bank will not decide the future course of action unless they are sure about the trend of inflation in the coming months. II. The Monetary Policy Committee of the bank will only give a call regarding this after the inflation framework is published by the Government. III. It is expected that there will be a rate cut in the next monetary policy review to control the inflation in the medium term. IV. However, the negative effects of rate cut will also have to be taken into account in a country with mass unemployment.

A. I and III are incorrect
B. II and III are incorrect
C. II and IV are correct
D. I, II and III are correct
E. None of the above
Answer» F.


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