Overview
This study reviews the literature on the contribution of low inflation to economic growth and the subsequent widespread adoption of inflation targeting as a monetary policy framework. Edwin Truman addresses the challenges and risks associated with such a framework. Building on these foundations, the study focuses on two major international economic policy issues: (1) the implications of differing national regimes of inflation targeting for international economic policy cooperation; and (2) the adoption of inflation targeting by emerging-market economies which often lack stable monetary policy environments and credible policy authorities--a situation which, among other things, can complicate the use of the inflation targeting framework as the basis for IMF-supported stabilization programs.
- | Author: Edwin Truman
- | Publisher: Peterson Institute for International Economic
- | Publication Date: Oct 27, 2003
- | Number of Pages: 288 pages
- | Binding: Paperback or Softback
- | ISBN-10: 0881323454
- | ISBN-13: 9780881323450
