Inflation targeting has been used as a monetary policy tool by central banks since the late 1980s, but recent events have raised the question as to whether the sacrosanct 2% target should be raised. What would be the implications of setting a higher target, and would it help solve an inflation crisis such as that currently being experienced?
What's Covered?- Runaway inflation and rate rises
- Is the 2% inflation target still valid?
- Financial markets and inflation
- Changing the inflation targeting consensus
