An Independent Central Bank Is an Advantage for Monetary Policy

Multiple Choice

An independent central bank is an advantage for monetary policy because

A) central banks can employ the most able staff if they have the independence to pay high salaries.
B) central banks have direct and frequent contact with commercial banks.
C) central banks do not have the same incentive as politicians to break their promises to keep inflation down.
D) central banks have greater expertise in monetary policy than government finance departments.