On Target? the International Experience with Achieving Inflation Targets

Scott Roger and Mark Stone

No 2005/163, IMF Working Papers from International Monetary Fund

Abstract: This paper examines the international experience with full-fledged inflation targeting monetary regimes. Stylized facts are brought together from a review of the institutional elements of inflation targeting frameworks, a comparison of actual and targeted inflation outcomes, and case studies of large inflation target misses. Inflation targets are missed about 40 percent of the time and often by substantial amounts and for prolonged periods, yet no country has dropped inflation targeting. The resilience of the inflation targeting regime is attributable to the flexibility of the framework, its high standards of transparency and accountability, and the lack of realistic alternatives.

Keywords: WP; inflation target; emerging market; monetary policy; core inflation; inflation outcome; Inflation targeting; inflation performance; policy horizon; inflation targeting framework; inflation targeters; inflation targeting central bank; inflation targeting range; inflation targeting countries transparency; inflation volatility; inflation experience; inflation target policy horizon; targeted inflation; Inflation; Disinflation; Emerging and frontier financial markets; Consumer price indexes; Africa (search for similar items in EconPapers)
Pages: 68
Date: 2005-08-01
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (138)

Downloads: (external link)
http://www.imf.org/external/pubs/cat/longres.aspx?sk=18416 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:imf:imfwpa:2005/163

Ordering information: This working paper can be ordered from
http://www.imf.org/external/pubs/pubs/ord_info.htm

Access Statistics for this paper

More papers in IMF Working Papers from International Monetary Fund International Monetary Fund, Washington, DC USA. Contact information at EDIRC.
Bibliographic data for series maintained by Akshay Modi ().