CentralBankNet on inflation targeting

SPECIAL FEATURE - Addressing a recent St Louis Fed conference, Fed Governor Ben Bernanke got straight to the point. He began his speech by asking: "Should the Federal Reserve announce a quantitative inflation objective". The question is high on the public policy agenda in several countries, for several reasons.

Proponents of inflation-targeting, like Professor Lars Svensson (see an extract from his interview below) argue that inflation targeting leads to rational transparent policy-making

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