Under the current terms of the agreement, the Bank aims to keep the trend of consumer price inflation at the 2 per cent midpoint of a 1 to 3 per cent range. Since we instituted the agreement, inflation expectations have become firmly anchored on our 2 per cent target. Well-anchored expectations promote economic growth and stability. Why?
The pace of job gains is hard to pin down in real time largely because of the dynamism of our economy: Many new businesses open and others close every month, creating some jobs and ending others, and definitive data on this turnover arrive with a substantial lag.