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Thoughts on the Conduct of Monetary Policy

| Oct 04, 2019

Communication is important. And more so when communicating about Inflation! Trying to decipher Central Bank-speak is never easy. Philip R. Lane, a member of the Executive Board of the ECB, discusses medium-term inflation goals in the article linked below. He suggests using specific guidelines for households, firms and market participants in forming inflation expectations. This requires a consistent communication strategy, especially when inflation has been very low versus the target rate.

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