One advantage of the inflation targeting approach as opposed, for example, to a currency board, is [that] it gives you considerably more scope for lender-of-last-resort activities.” (Federal Reserve Bank of Kansas City, 1999, p. 145)  15  Bernanke (2003). Gramlich (2000) made a similar observation and cited empirical evidence.
This leaves considerable monetary stimulus in place, consistent with achieving the 2 per cent inflation target in an environment of significant excess supply in Canada. Any further reduction in monetary policy stimulus would need to be carefully considered. With that, Tiff and I would be pleased to take your questions. 2  BIS central bankers’ speeches