Clarida, Richard; Galí, Jordi; Gertler, Mark - C.E.P.R. Discussion Papers - 1997
banks has pursued an implicit form of inflation targeting, which may account for the broad success of monetary policy in … respond to anticipated inflation as opposed to lagged inflation. As for the E3, even prior to the emergence of the ‘hard ERM … inflation targeting may be superior to fixing exchange rates, as a means of gaining a nominal anchor for monetary policy. …