Majority Of 600 Surveyed Economists Are Satisfied With The Prevailing Inflation Target Says Professor Andrea Ferrero

Summary

• A majority of 600 economists surveyed in 2022 stated that they were satisfied with the prevailing inflation target.

• Of these economists who were satisfied with the status quo, a majority expressed concern that changing the target would undermine the central bank’s credibility.

• Among those in favor of changing the inflation target, a majority supported raising it. The median desired increase among these economists was 1%.

• A non-negligible minority wanted to lower the inflation target.

Andrea Ferrero is Professor of Economics at the University of Oxford and the Levine Fellow in Economics at Trinity College Oxford.