Very interesting episode. Might be the first one I listen to twice (at least parts of it).
I tend to favour 0% inflation targeting while at the same time advertising heavily to change people's expectations. It would probably be sub-optimal in the short run but good in the long run. The whole problem with managing expectations around inflation and wage changes is that those expectations can change in reaction to conditions. There is no permanently accurate measure.
PS: Ben continues to be both the best dressed and have the most slovenly posture. A rare combination!
Very interesting episode. Might be the first one I listen to twice (at least parts of it).
I tend to favour 0% inflation targeting while at the same time advertising heavily to change people's expectations. It would probably be sub-optimal in the short run but good in the long run. The whole problem with managing expectations around inflation and wage changes is that those expectations can change in reaction to conditions. There is no permanently accurate measure.
PS: Ben continues to be both the best dressed and have the most slovenly posture. A rare combination!
I will up my sitting game LOL