In this paper, the interaction between inflation and monetary policy rules is analysed within the framework of a … illustrated that the control of monetary policy over the inflation process is strongly dependent on the role of forward looking …

In recent years, central bankers throughout the world have advocated that monetary policy shift toward inflation … targeting. Recent actions in the U.S. serve to highlight the desire of the Federal Reserve to keep inflation both low and stable …, while downplaying the likely output and employment consequences. But control of inflation requires both that one be able to …