We all seek reliable indicators with which to gauge how serious and longlasting the current inflation pressures might be. This kind of information can materially affect the stance of monetary policy. This illustrates why monetary policy-makers must gather and weigh as much information as possible in their decision making – and why inflation research is so important.
For details, see footnote 8 of the May issue of the Monthly Report of Recent Economic and Financial Developments, released by the Bank of Japan on May 25, 2010. BIS Review 106/2010  5  the fiscal deficit problem in some European countries arises from the difficulties of an economic system based on a common currency, the euro.