We use a novel anchoring-measure based on the distribution across professional forecasters' point forecasts to test empirically whether target formulations matter for the anchoring of long-term inflation expectations. In a panel of 29 countries, we find that the formulation of a point target...

The implementation of inflation targeting in Korea highlights the importance of distinguishing between its symmetric and asymmetric operations. When Korea suffered from high inflation, the Bank of Korea set the inflation target at 3%, instead of 2%. Given its underlying intention to lower the...