It means that recessions
under inflation targeting can last as long as it takes for the stickiest prices to change.
If we can achieve something like that outcome, that would still be consistent in every essential respect with the experience
under inflation targeting since it began 15 years or so ago.
Not exact matches
Apart from calling for a 2 percent
inflation target, he urged sustained quantitative easing, or pumping cash into the economy, and blasted the BOJ for timidity and for
under cuttingits own easing policies by refusing to play cheerleader with financial markets.
In January the Bank of Japan,
under pressure from Abe to end years of deflation, doubled its
inflation target to 2 percent and made an open - ended pledge to buy assets from next year.
Expectations are high the Bank of Japan may boost its government bond purchases at its April 3 - 4 policy review, the first
under new Governor Haruhiko Kuroda, who has vowed to do whatever it takes to hit the BOJ's new 2 percent
inflation target.
Under Kuroda's direction, the BOJ deployed in 2013 a radical asset - buying programme intended to reflate the economy out of deflation and
target an
inflation rate of 2 percent.
Economists expect the Fed will raise rates at least once this year, based on a view of an improving U.S. jobs market and the central bank coming
under pressure to keep
inflation from rising well above its 2 %
target.
British
inflation fell to its lowest level in more than 12 years in November, coming in at half the Bank of England's two percent
target and leaving it
under no pressure to raise interest rates anytime soon.
Speculation on further easing has been growing since Draghi's last press conference in October, when he expressed concern about fresh risks to the economy from the slowdown in China and other emerging markets, and about the stubborn refusal of
inflation to come back to its
targeted level of just
under 2 %.
Japan's central bank, which has been
under intense political pressure to overcome deflation, doubled its
inflation target to 2 percent as had been widely expected.
With potential growth of
under 2 per cent and an
inflation target of 2 percent, this suggests that annual increases in health transfers will likely fall into the 3 to 4 percent range.
Inflation targeting was established in Canada in 1991
under an agreement with the federal government, which we renew every five years.
Alternatively, it seems reasonable to simply suggest that the Fed should run equal risks of over and
under shooting its
inflation target.
The rationale to raise interest rates would be to curb
inflation, which is already
under control and well below the central bankâ $ ™ s 2 %
target.
Under Canada's
inflation -
targeting regime,
inflation expectations have been very well anchored, even during the global financial crisis and subsequent recession.
However, the pace of easing should take into account the presence of external risks and the need to build credibility
under the newly introduced
inflation targeting regime.
Along those lines, some observers have suggested that it's necessary to raise the
target for the fed funds rate soon in order to keep
inflation under control.
«The
targets for growth,
inflation, and the primary balance remain out of reach
under current policies,» it reported.
The European Union's statistics agency said Friday consumer prices rose by just 0.7 % in the 12 months to January, down from an 0.8 % annual rate of
inflation in December, and further below the ECB's
target of just
under 2.0 %.
Core
inflation is just
under the Fed's 2 percent
target.
The first key decisions
under the augmented mandate were the introduction of a 2 %
inflation target and the initiation of a new open - ended Asset Purchase Program, initially scaled to an estimated 7 % of GDP (view post here).
Inflation is also
under pressure and remains well below the ECB
target of 2 percent.
While the nation has essentially returned to full employment
under her watch,
inflation remains stubbornly below the Fed's annual 2 per cent
target.
Under our current agreement, we aim to keep
inflation around a
target of 2 per cent, and we usually try to accomplish this over six to eight quarters.
Under the Wise Leadership of Governor Mervyn King, The Bank of England has now overshot the official
inflation target forthree years.
The central bank's president, Mario Draghi, addressed the low
inflation issue by saying that the measure of
inflation would remain low over the upcoming months, but he would expect it to eventually rise back to the central bank's
target rate of just
under 2 %.
Overall, GDP has made strides this year, despite
inflation lolling
under 2 percent — the Fed's
target — and wages growing at a meager pace.