Burlachkov V.K.Moscow State Institute of International Relations (University) of Ministry of Foreign Affairs of Russian Federation (MGIMO University), Moscow, Russian Federation vkburl@gmail.com ORCID id: not available
Subject This article deals with the issues of inflation targeting, which is the main form of monetary policy in the modern economy and is widely used in industrial and emerging economies. Objectives The article aims to conduct a comprehensive study of the peculiarities of inflation targeting under the functioning of the modern mechanism of money supply formation, as well as develop a methodological framework to increase the effectiveness of anti-inflationary monetary policy in the Russian economy. Methods The study involves the methods of scientific abstraction, induction, deduction, synthesis, and comparative analysis. Results The article reveals and describes certain paradoxes of the conceptual framework of inflation targeting. Conclusions Inflation targeting as a form of monetary policy is the impact, including legal methods, on the rational expectations of economic agents and the use of the central bank's key interest rate as a tool to influence the aggregate demand and price dynamics.
King M. The Inflation Target five years on. Lecture at the London Schools of Economics, 29 October, 1997. URL: Link
Walsh C.E. Inflation Targeting: What Have We Learned? International Finance, 2009, vol. 12, iss. 2, pp. 195–233.
Svensson L.E.O. Inflation Forecast Targeting: Implementing and Monitoring Inflation Targets. European Economic Review, 1997, vol. 41, iss. 6, pp. 1111–1146. URL: Link00055-4
Svensson L.E.O. Price-Level Targeting versus Inflation Targeting: A Free Lunch? Journal of Money, Credit and Banking, 1999, vol. 31, no. 3, part 1, pp. 277–295. URL: Link
Vega M., Winkelried D. Inflation Targeting and Inflation Behavior: A Successful Story? International Journal of Central Banking, 2005, vol. 1, no. 3, pp. 153–175. Available at SSRN: Link
Bruno M., Easterly W. Inflation Crises and Long-Run Growth. Journal of Monetary Economics, 1998, vol. 41, iss. 1, pp. 3–26. URL: Link00063-9
Eggoh J.C., Khan M. On the Nonlinear Relationship between Inflation and Economic Growth. Research in Economics, 2014, vol. 68, iss. 2, pp. 133–143. URL: Link
Kremer S., Bick A., Nautz D. Inflation and Growth: New Evidence from a Dynamic Panel Threshold Analysis. Empirical Economics, 2013, vol. 44, iss. 2, pp. 861–878. URL: Link
Mollick A.V., Cabral R., Carneiro F.G. Does Inflation Targeting Matter for Output Growth? Evidence from Industrial and Emerging Economies. Journal of Policy Modeling, 2011, vol. 33, iss. 4, pp. 537–551. URL: Link
Kurihara Y. Does Adoption of Inflation Targeting Reduce Exchange Rate Volatility and Enhance Economic Growth. Journal of World Economic Research, 2013, vol. 2, no. 6, pp. 104–109. URL: Link
Woodford M. Pitfalls of Forward-Looking Monetary Policy. The American Economic Review, 2000, vol. 90, no. 2, pp. 100–104. URL: Link
Pourroy M. Does Exchange Rate Control Improve Inflation Targeting in Emerging Economies? Economic Letters, 2012, vol. 116, iss. 3, pp. 448–450. URL: Link
Rose A.K. A Stable International Monetary System Emerges: Inflation Targeting is Bretton Woods. Journal of International Money and Finance, 2007, vol. 26, iss. 5, pp. 663–681. URL: Link
Brito R.D., Bystedt B. Inflation Targeting in Emerging Economies: Panel Evidence. Journal of Development Economics, 2010, vol. 91, iss. 2, pp. 198–210. URL: Link
Mishkin F.S., Schmidt-Hebbel K. Does Inflation Targeting Make a Difference? NBER Working Paper, 2007, no. 12876. URL: Link
El-Erian M.A. Farewell to Inflation Targeting? Project Syndicate, December 20, 2012. URL: Link
Ball L., Sheridan N. Does Inflation Targeting Matter? In: B.S. Bernanke and M. Woodford (Eds), The Inflation Targeting Debate. Chicago, University of Chicago Press, 2005, pp. 249–276.
Gillitzer C., Simon J. Inflation Targeting: A Victim of Its Own Success. International Journal of Central Banking, September 2015, vol. 11, no. S1, pp. 259–287. URL: Link
Fraga A., Goldfajn I., Minella A. Inflation Targeting in Emerging Market Economies. NBER Macroeconomics Annual, October 2003, vol. 18, pp. 365–400. URL: Link
Goncalves C.E.S., Salles J.M. Inflation Targeting in Emerging Economies: What Do the Data Say? Journal of Development Economics, 2008, vol. 85, iss. 1-2, pp. 312–318. URL: Link
McLeay M., Radia A., Thomas R. Money Creation in the Modern Economy. Bank of England Quarterly Bulletin, 2014 Q1, vol. 54(1), pp. 14–27. URL: Link
Carpenter S., Demiralp S. Money, Reserves and the Transmission of Monetary Policy: Does the Money Multiplier Exist? Journal of Macroeconomics, 2012, vol. 34, iss. 1, pp. 59–75. URL: Link
Bernhardsen T., Kloster A. Misunderstood Central Bank Reserves. Norges Bank Economic Commentaries, 2012, no. 1. URL: Link
Andresen T.Basel Rules, Endogenous Money Growth, Financial Accumulation and Debt Crisis. PKES Working Paper, February 2009, no. 0902. URL: Link