THEORETICAL ASPECTS OF INFLATION TARGETING

  • Jelena Obradović Visoka poslovna škola strukovnih studija u Novom Sadu
  • Vladimir Dinić Ekonomski fakultet Niš
  • Jelena Pivašević Visoka poslovna škola strukovnih studija u Novom Sadu
DOI: https://doi.org/10.5937/skolbiz1-6147
Keywords: Inflation targeting, monetarism, Keynesian economics, game theory, theory of rational expectations,

Abstract


Inflation targeting is one of the possible strategies used by central banks during conducting monetary policy. The basic characteristics, advantages and disadvantages of inflation targeting will be presented in this paper. The focus is on the the presentation and interpretation of the understanding of this strategy from the perspective of monetarist and Keynesian theory, the theory of rational expectations, and methodological analysis of the strategy in light of the game theory using payoff matrix.

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Published
2014/10/06
Issue
No. 1 (2014): Škola biznisa
Section
Review Paper
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