The more things change... inflation targeting and central bank policy

Louis-Philippe Rochon

Journal of Post Keynesian Economics, 2006, vol. 28, issue 4, 551-558

Abstract: Over the past several decades, monetary theory and policy have been rather consistent, giving credence to the old adage that "the more things change, the more they stay the same." Indeed, three constants in monetary policy can be identified: (1) central banks always strive for some form of price stability, (2) inflation is always and everywhere a demand phenomenon, and (3) monetary policy is always neutral in the long run. Even the latest version of mainstream theory, under the guises of the "new consensus," is strangely consistent with this approach, despite advocating exogenous rates of interest and endogenous money. Inflation targeting is a restatement of the old doctrine, with all the traditional bells and whistles.

Date: 2006
References: Add references at CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://hdl.handle.net/10.2753/PKE0160-3477280401 (text/html)
Access to full text is restricted to subscribers.

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:mes:postke:v:28:y:2006:i:4:p:551-558

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/MPKE20

DOI: 10.2753/PKE0160-3477280401

Access Statistics for this article

More articles in Journal of Post Keynesian Economics from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().