IDEAS home Printed from https://ideas.repec.org/p/bfr/econot/261.html
   My bibliography  Save this paper

Advantages of point targets and drawbacks of target ranges
[Avantages des cibles d’inflation ponctuelles et inconvénients des zones cibles et bandes de tolérance]

Author

Listed:
  • Christoph Grosse Steffen
  • Magali Marx

Abstract

A central bank’s inflation objective can be formulated using a point target, a target range or a combination of the two. In this blog, we show the disadvantages of a target range for anchoring inflation expectations and for macroeconomic stabilisation. The analysis thereby underpins the ECB’s adoption of a clear and symmetric 2% inflation point target. L’objectif d’inflation d’une banque centrale peut être formulé en utilisant une cible ponctuelle, une zone cible ou une combinaison des deux avec des bandes de tolérance autour d’une cible ponctuelle. Dans ce billet, nous montrons les inconvénients d’une zone cible pour l’ancrage des anticipations d’inflation et la stabilisation macroéconomique. L’analyse conforte ainsi l’adoption par la BCE d’une cible d’inflation ponctuelle claire et symétrique de 2 %.

Suggested Citation

Handle: RePEc:bfr:econot:261
as

Download full text from publisher

File URL: https://www.banque-france.fr/en/publications-and-statistics/publications/advantages-point-targets-and-drawbacks-target-ranges
Download Restriction: no
File URL: https://www.banque-france.fr/fr/publications-et-statistiques/publications/avantages-des-cibles-dinflation-ponctuelles-et-inconvenients-des-zones-cibles-et-bandes-de-tolerance
Download Restriction: no
---><---

More about this item

Statistics

Access and download statistics

Corrections

All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bfr:econot:261. See general information about how to correct material in RePEc.

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

We have no bibliographic references for this item. You can help adding them by using this form .

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Michael brassart (email available below). General contact details of provider: https://edirc.repec.org/data/bdfgvfr.html .

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.