If the policy interest rate responds to increases in inflation by less than one-for-one (so that the real policy rate does not rise in the face of higher inflation), economic theory tells us that inflation expectations and the economy in general can become unstable.
Commenting on his contributions to sampling techniques, Harold Hotelling wrote, “No technique of random sample has, so far as I can find, been developed in the United States or elsewhere, which can compare in accuracy with that described by Professor Mahalanobis”. Of course, his contribution to public policy, particularly the Second Five-Year Plan of industry-led growth, is well known.