Inflation Below 4% Target Steps:

• Locate inflation rates at points W, X, Y, Z on the graph.
• Compare each rate to the 4% minimum target set by central banks.
• Note points where inflation < 4%, indicating economic instability.
• Match those points to the multiple-choice options.

Why C is correct:

• Points Y and Z show inflation rates below 4%, violating the central bank's target for economic stability.

Why the others are wrong:

• A: Points W and X have rates at or above 4%.
• B: Point X has a rate at or above 4%.
• D: Point W has a rate at or above 4%.

Final answer: C