How are inflation targets set?

0364420 - NHU-C 2012 RIV GB eng J - Journal Article
Horváth, R. - Matějů, Jakub
How are inflation targets set?
International Finance. Roč. 14, č. 2 (2011), s. 265-300. ISSN 1367-0271. E-ISSN 1468-2362
R&D Projects: GA MŠMT SVV 263801/2011
Institutional research plan: CEZ:MSM0021620846
Keywords : central bank independence * imperfect credibility * macroeconomic policy
Subject RIV: AH - Economics
Impact factor: 0.500, year: 2011

This paper contributes to a better understanding of how inflation targets are set. First, we gather evidence on how inflation targets are set from official central bank and government publications, and from a questionnaire of our own design. Second, we estimate what determines the level of the inflation target in 19 inflation-targeting countries by using unbalanced panel interval regressions to deal with the issue that targets are typically set as a range rather than a point.
Permanent Link: http://hdl.handle.net/11104/0199909