With surging inflation in advanced economies, it is likely that the adjusted policy frameworks of recent times will shift back to simpler and clearer formulations. Three takeaways from this discussion stand out. One is that inflation-targeting central banks also consider real variables such as growth and unemployment when they make monetary policy decisions.
Thus, quantitative targets are not perhaps so important for the internal decision-making process of the central bank. But they are very important for communication with the markets and the public. How useful they are for this purpose depends very much on their predictability. 4.