To summarize, the answer to the old question, “should central banks be pure inflation targetters?” has shifted from an increasingly confident “yes” to an increasingly qualified “yes”. Question 3: Should financial stability be an explicit mandate of central banks? 21.
Headline inflation is 8.6 percent [in February 2023], which eventually fell to 7.6 [percent in March]. If you take out the extreme price changes-what you would call core inflation-it is also quite high [at 8.0 percent in March]. But to me, the numbers that mean a lot more are the little bars below [month-on-month (m-o-m) inflation].