Monetary Policy, Income Inequality, and Inflation – What’s the Link?

Summary:
Page Title:Monetary Policy, Income Inequality, and Inflation – What’s the Link? – C.D. Howe Institute
Article Title:Monetary Policy, Income Inequality, and Inflation – What’s the Link?
URL:https://cdhowe.org/publication/monetary-policy-income-inequality-and-inflation-whats-link/
Published Date:January 28, 2020
Accessed Date:February 16, 2025

The Bank of Canada should weigh how income inequality affects monetary policy effectiveness as it pursues its 2 percent inflation target, says a new report from the C.D. Howe Institute.

In “Monetary Policy, Income Inequality, and Inflation—What’s the Link?” authors Jeremy Kronick and Francisco Villarreal investigate the link between monetary policy, income inequality and inflation in Canada, and explore why and how inflation plays a role.

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