What Can Low Income Countries Expect From Adopting Inflation Targeting

What Can Low Income Countries Expect From Adopting Inflation Targeting by Mr.Edward R. Gemayel. Download it What Can Low Income Countries Expect From Adopting Inflation Targeting books also available in PDF, EPUB, and Mobi Format for read it on your Kindle device, PC, phones or tablets. Inflation targeting (IT) is a relatively new monetary policy framework for low-income countries (LICs).. Click Get Books for free books.

What Can Low Income Countries Expect From Adopting Inflation Targeting

What Can Low Income Countries Expect From Adopting Inflation Targeting
Author: Mr.Edward R. Gemayel
Publisher: International Monetary Fund
ISBN: 146392593X
Size: 77.51 MB
Format: PDF, Mobi
View: 7234
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Inflation targeting (IT) is a relatively new monetary policy framework for low-income countries (LICs). The limited number of LICs with an IT framework and the short time that has elapsed since the adoption of this framework explains why there are no previous empirical studies on the performance of IT in LICs. This paper has made a first attempt at filling this gap. It finds that inflation targeting appears to be associated with lower inflation and inflation volatility. At the same time, there is no robust evidence of an adverse impact on output. This may explain the appeal of IT for many LICs, where building credibility of monetary policy is difficult and minimizing output costs of reducing inflation is imperative for social and political reasons.