A new era of central banking and the next crisis

BBC News "The end of an era

Inflation-targeting began when New Zealand adopted it in 1991, and since then it has become the dominant regime among major economies.

For instance, the Federal Reserve recently adopted a 2% target for inflation and the Bank of Japan has a 1% target.

The Bank of England was granted independence in 1997, charged with targetting inflation and has a 2% target."

.....

But, the Great Moderation and the ensuing Great Recession showed the inadequacy of that regime.
......

Full article