Had this been done, the policy stance would have been different and so might have been the outcome. However, this was a debate on detail, not on the basic approach. One line of argument that has emerged after the crisis is that inflation targeting – assigning a relatively low weight to the output gap in the Taylor Rule – had been discredited.
Many economies which did target inflation in this way appeared to have lost a little bit of the flexibility or response to the  2  BIS Review 168/2010  impending financial shock, which then made its impact even more severe. Proponents of inflation targeting have defended the approach by introducing a number of nuances into their cases.