The central bank watches the price index as a measure of the economic health of the nation.
True False

Question

The central bank watches the price index as a measure of the economic health of the nation.
  True False

ChoiWillows · Answer

True.The central bank monitors the price index, such as the Consumer Price Index (CPI), as an indicator of inflation and overall economic health. A stable or moderate price index is a key indicator of economic stability, while drastic changes can signal economic problems, which the central bank may address through monetary policy.

Answered by ChoiWillows | 2025-04-28

The central bank watches the price index as a measure of the economic health of the nation. True False

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