To do so would probably require an acceptance of a longer time horizon for inflation targets, and an acceptance of a bit more short-term deviation from the central point of the target. These issues remain unresolved among theorists and practitioners of monetary policy. There will be a good deal of further 13 discussion about them in the period ahead.
Finally, over recent months, there has been a tendency for markets to judge countries and their exchange rates by the “new economy model”. Ironically, this is exactly the period when US technology stocks have languished. I should now conclude by saying something about the implications for monetary policy.