11 See, for instance, ‘A revised Quarterly Projection Model for South Africa’, South African Reserve Bank Working Paper 15(3), by S de Jager, M Johnston and R Steinbach, published in August 2015 (https://www.resbank.co.za/Lists/News%20and%20Publications/Attachments/6839/WP1503.pdf). Page 9 of 12  high economic costs to reverse earlier policy mistakes. Such policies tend to exacerbate inequality and deepen poverty.
By contrast, when monetary policy starts with a strong commitment to price stability (which is the case with inflation targeting), it can also offer other benefits. A credible monetary policy can be more flexible, meaning it can do more about any short-term deviations of employment and output from natural rates.