Thus, if financial market participants have heterogenous views about the central bank's inflation objective, the identity of the marginal investor might vary systematically over time in ways that influence the evolution of long-term bond yields.
Another pitfall is that if a central bank places a high degree of emphasis on the boundaries of a range, then these threshold effects imply nonlinearities in the conduct of monetary policy that are likely to produce less desirable economic outcomes; see Orphanides and Wieland (2000). 30  See Mishkin and Westelius (2008) and Mishkin (2008c).