For example, the stance of policy would remain roughly neutral in response to a shock that leaves inflation just below the upper end of the comfort zone, whereas a slightly larger shock that pushes inflation just above that boundary would cause an abrupt shift to a contractionary policy stance.
Such a "stop-start" approach is likely to cause greater uncertainty in financial markets and would also tend to generate greater volatility of the macroeconomy. The benefits of maintaining a point objective In contrast to the various pitfalls associated with comfort zones, there are a number of significant benefits to maintaining a point objective for inflation. Clarity in communication.