William White, (2017), “The Dangerous Delusion of Price Stability”, Project Syndicate, 14 December
Since the hyperinflation of the 1970s, which central banks were right to combat by whatever means necessary, maintaining positive but low inflation has become a monetary-policy obsession. But, because the world economy has changed dramatically since then, central bankers have started to miss the monetary-policy forest for the trees.
Relevant Posts
- Ferdinando Giugliano, (2017), «The ECB Needs an Inflation Plan, Just in Case», Bloomberg, 14 November
- Maritta Paloviita, Markus Haavio, Pirkka Jalasjoki, Juha Kilponen, (2017), «Two percent or not two percent? Interpreting the ECB’s definition of price stability»,VoxEu, 24 October