The Journey to Inflation Targeting: Easier Said than Done The Case for Transitional Arrangements along the Road

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Countries with evolving monetary regimes that decide to embark on “the Journey to inflation targeting” may not be able to adopt a full-fledged inflation targeting regime immediately. Those countries would be better off adopting transitional arrangements that take advantage of the informational content of monetary aggregates, developing an economic analysis capacity, and concentrating on monetay operations aimed at steering money market interest rates. This approach would allow the central bank to buy time for developing the building blocks for effective monetary policy, support transparent central bank communication, and limit the potential for undesirable outcomes along the road.
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Additional Information

Publisher
International Monetary Fund
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Published on
Jun 25, 2015
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Pages
44
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ISBN
9781513534305
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Best For
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Language
English
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Genres
Business & Economics / Economics / General
Business & Economics / Economics / Macroeconomics
Business & Economics / International / Economics
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Content Protection
This content is DRM protected.
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