The ECB considers counting owner-occupied housing in inflation

Feb 1st 2020
Like many good intentions, such as losing weight, the European Central Bank’s inflation target is largely aspirational. In 2003 it set itself a goal of below but close to 2%, but in the past five years inflation has averaged only 1%. That is partly why Christine Lagarde, the bank’s boss, began a review of the ecb’s monetary-policy strategy on January 23rd. The bank will ponder whether its target needs adjusting or its tools sharpening—and whether inflation figures capture prices accurately in the first place.

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