There is now considerable disquiet about the appropriate monetary strategy that central banks should follow in the aftermath of the global financial crisis. Several influential commentators have called for the abandonment of inflation targeting. Empirical research examining three major economies...

Inflation targeting has been a key objective of the European Monetary Union. This article presents empirical evidence indicating that this macroeconomic objective has been successfully achieved. However, despite expectations that inflation control would provide the foundation for robust and...