Inflation-targeting, flexible exchange rates and macroeconomic performance since the Great Recession
Barnebeck Andersen, Thomas ; Malchow-Møller, Nikolaj ; Nordvig, Jens
European Centre for Political Studies, Brussels
CEPS - Brussels
2014
25 p.
economic growth ; economic recession ; exchange rate ; inflation ; monetary policy
CEPS Working Documents
394
Financing and monetary policy
English
Bibliogr.
"Has inflation targeting (IT) conferred benefits in terms of economic growth on countries that followed this particular monetary policy strategy during the crisis period 2007-12? This paper answers this question in the affirmative. Countries with an IT monetary regime with flexible exchange rates weathered the crisis much better than countries with other monetary regimes, predominantly countries with fixed exchange rates."
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