Time Inconsistency problem

          1. State ‘True’ or ‘False’ and explain why. (Full credit is given if the explanation is correct) a. A central bank can maintain fixed exchange rate while targeting inflation. b. US Federal Reserve system has a hierarchical mandate on achieving its goals. c. US Federal Reserve targets headline inflation d. US Federal reserve follows a monetary policy rule e. Time Inconsistency problem occurs when a central bank uses discretionary policy.