All of the following are arguments against an explicit inflation targeting rule for monetary policy except:
a. an explicit target assumes that the fed can accurately forecast future inflation rates
b. an explicit target reduces the flexibility of monetary policy to address other economic issues
c. an explicit target is easier to understand by households and firms which makes monetary policy more transparent

Afirm plans to begin production of a new small appliance. the manager must decide whether to purchase the motors for the appliance from a vendor at $10 each or to produce them in-house. either of two processes could be used for in-house production; process a would have an annual fixed cost of $200,000 and a variable cost of $7 per unit, and process b would have an annual fixed cost of $175,000 and a variable cost of $8 per unit. determine the range of annual volume for which each of the alternatives would be best. (round your first answer to the nearest whole number. include the indifference value itself in this answer.)