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Which of the following is an example of a nominal​ anchor? A. Inflation rate B. Money supply C. Exchange rate D. Both A and B are correct E. All of the above are correct

1 Answer

4 votes

Answer:

E. All of the above are correct

Step-by-step explanation:

Nominal​ anchor -

It is a government policy which is responsible for the stability of the economy .

For example ,

The example of Nominal anchor are the , inflation rate , exchange rate , money supply .

As ,

These factors are used to regulate the money supply in the market , and by increasing or decreasing these factors , inflation or deflation can be tackled .

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