Discuss the Pros and Cons of Changing the Inflation Target——Should Central Banks be Responsible for Macroprudential Oversight?
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Following the financial crisis of 1997, the United States happened the financial crisis and then the rest countries also started to affect the economy of the world. In addition, in the last financial crisis of 2008–2009, some researchers found the importance of the inflation target. Indeed, the inflation target may support a nominal anchor for monetary policy in the financial framework. The main contributions of the present paper can be summarized as follows: This paper is divided into two sectors. The first sector has described the advantages and disadvantages of the changing inflation target. The second sector has discussed the relationship between the central bank and the macro-prudential.
Inflation target, central banks, responsible, macro-prudential, advance or disadvantage