Dealing with inflation shocks: International oil prices  Rising international oil prices and food prices have been on the top of our list of risk factors for some time. I am often asked what monetary policy can do about oil or food prices?
In addition, governments of some countries should consider in what way the latter schemes can be encouraged further, either by tax abatement or by regulation. Considering present market returns, it's probably needless to add, however, that second and third pillars based on capitalisation in the stock market, can not by themselves provide a miracle solution, contrary to what some people advocated previously.