Question

The monetary policy strategy that provides an automatic rule for the conduct of monetary policy is

Answer 1

exchanging -rate provides an automatic rule

Answer 2

$\Large{\underline{\underline{\bf{Answer:-}}}}$

An exchange-rate target provides an automatic rule for the conduct of monetary policy that helps mitigate the time-inconsistency problem. An exchange-rate target has the advantage of simplicity and clarity, as it is easily understood by the public.