Waller advocates abandoning 2 per cent inflation target for 1.5 to 2.5 per cent

On 14 July, Federal Reserve Commissioner Waller indicated that he preferred to set inflation targets as an inter-zone, rather than the current 2 per cent single target point, as the latter assessed the effectiveness of policies too rigorously. According to Waller, individuals prefer to set inflation targets at 1.5 to 2.5 per cent because it is unrealistic to require central banks to precisely control inflation to a specific number. He pointed out that a single target point to judge the success or failure of monetary policy could sometimes be too stringent, and that the use of target zones might be more in line with actual economic performance。