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On Inflation

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  • Philiph Mohr

Abstract

There is currently much more common sense in the South African inflation debate than a few decades ago. In particular, the South African Reserve Bank exhibits a pragmatic, eclectic approach to inflation (as reflected in its bi‐annual Monetary Policy Reports). This is in stark contrast to the narrow, monetarist‐type thinking that tended to dominate during the 1980s. This paper is an attempt to contribute to the debate by highlighting a few issues, including the widespread substitution of the CPI by the CPIX, the fact that inflation is a process, the need to combat inflation, the causes of the decline in inflation in South Africa and the essential features of an inflation‐targeting framework for monetary policy.

Suggested Citation

  • Philiph Mohr, 2008. "On Inflation," South African Journal of Economics, Economic Society of South Africa, vol. 76(1), pages 1-15, March.
    • Handle: RePEc:bla:sajeco:v:76:y:2008:i:1:p:1-15
    DOI: 10.1111/j.1813-6982.2008.00158.x
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    Cited by:

    1. Reid, Monique, 2015. "Inflation expectations of the inattentive general public," Economic Modelling, Elsevier, vol. 46(C), pages 157-166.

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