It is simply good governance and wise economic policy to maintain a healthy separation between those responsible for tax and spending policy and those responsible for money creation. Another widely acknowledged basic tenet of sound central banking is the wisdom of maintaining a low and stable inflation rate.
Price stability contributes to the economy’s growth and employment prospects in the longer term and helps to moderate the variability of output and employment in the short to medium term. Price stability allows the economy to function in a more efficient and more productive manner by giving individuals and businesses more confidence that the purchasing power of their money will be maintained over time.