Three Reasons  Upward bias in the CPI  Buffer for monetary policy  2 percent as a global standard  Price Stability in Advanced Economies Country/ Region  Definition  United States (FRB)  Longer-run goal  Euro area (ECB)  Quantitative definition  United Kingdom (BOE)  Target  Japan (BOJ)  Price stability target  Indicator Numerical expression (y/y chg.)  PCE deflator  2% HICP  Below, but close to, 2% CPI  2% CPI  2%  3  Chart 4  Firms' Cautious Wage-Setting Stance Labor Force Participants  Wage Increases  Seniors (aged 65 and over)  Women (aged 15-64)  y/y % chg.  change from CY 2000, mil.
All this progress is very remarkable, especially when comparing it to the rather sceptical stance many countries and many private sector representatives had taken in the  4  BIS Review 37/2004  past vis-à-vis the recommendations in the Rey report after the Mexican crises.