Comparative Economic Studies

, Volume 50, Issue 3, pp 438–459 | Cite as

Advancing Inflation Targeting in Central Europe: Strategies, Policy Rules and Empirical Evidence

  • Lucjan T Orlowski
Symposium Paper


This paper analyses the evolution of inflation targeting policies in Central European countries. The origins of their inflation targeting strategies are examined, above all the commitment to price stability as well as the inability of prior policy regimes to engender financial stability. Recent policy modifications toward greater flexibility of inflation targeting are reviewed and a system of targeting the differentials between the domestic and the euro area inflation forecast is advocated as conducive to achieving euro-convergence.


inflation targeting monetary convergence euro adoption EU new member states 

JEL Classifications

E42 E52 F36 P24 


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Copyright information

© Palgrave Macmillan Ltd 2008

Authors and Affiliations

  • Lucjan T Orlowski
    • 1
  1. 1.Department of Economics and FinanceSacred Heart UniversityFairfieldUSA

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