01764cas a2200253 a 4500 AALejournalIMF018364 230101c9999 xx r poo 0 0eng d 5.00 USD 9781484350515 1018-5941 BD-DhAAL BD-DhAAL Choi, Woon. Policy Conflicts and Inflation Targeting : The Role of Credit Markets / Woon Choi, David Cook. Washington, D.C. : International Monetary Fund, 2018. 1 online resource (36 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper shows that stabilizing volatility in credit growth often conflicts with price stability: unusual credit expansions often occur when inflation is low relative to goals, and credit slumps often appear when inflation is overshooting. We find that central banks with inflation targeting (IT) are responsive to credit conditions in both advanced economies and emerging-market economies (EMEs). However, EMEs are more sensitive to inflation conditions, responding to credit growth only when consistent with IT. Macroprudential measures are also deployed to address credit growth volatility when orthodox policy moves would be inconsistent with IT, complementing monetary policy. Mode of access: Internet Cook, David. IMF Working Papers; Working Paper ; No. 2018/072 Full text available on IMF http://elibrary.imf.org/view/journals/001/2018/072/001.2018.issue-072-en.xml IMF e-Library