As for actions, at least Cecchetti and Ehrmann find that the Fed’s revealed inflation aversion is now as high as that of the formal inflation targeting countries. Given this strong inflation aversion, ultimately there may be little difference between informal inflation targeting as practiced in the United States and flexible, forward-looking inflation targeting as practiced in many other countries around the world.
Given that the credit derivatives market has a global, innovative, complex and predominantly wholesale nature, it may be argued that global market standards are particularly well suited to meet related regulatory challenges. ISDA is widely recognised as playing a crucial role in promoting market standards and mitigating legal risk.