Some central banks have explicit inflation targets. Why isnt the inflation target zero?

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Some central banks have explicit inflation targets. Why isn’t the inflation target zero?

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Macroeconomics

ISBN: 9780132109994

1st Edition

Authors: Glenn Hubbard, Anthony Patrick O'Brien, Matthew P Rafferty

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Question Posted: Feb 04, 2016 06:55 AM

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Some central banks have explicit inflation targets. Why isnt the inflation target zero?

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As discussed in Chapter 10 a 0 target would be diffic...View the full answer

Macroeconomics

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