Post Inflation Targeting Monetary Policy: A Study of Britain, Japan and the United States



Summary

There is now considerable disquiet about the appropriate monetary strategy that central banks should follow in the aftermath of the global financial crisis. Several influential commentators have called for the abandonment of inflation targeting. Empirical research examining three major economies demonstrates that inflation targeting was effective prior to the crisis and a more flexible form of targeting may still be appropriate after the crisis.


Keywords

Inflation targeting, monetary policy, comparative study