ABSTRACT
This introduction presents an overview of the key concepts discussed in the subsequent chapters of this book. The book discusses the evolution of monetary economics as a starting point for the analysis. This will be helpful in understanding the role that monetary policy plays within an economy and the rationale behind considering price stability as the right goal for monetary authorities, irrespective of the monetary strategy used by a given central bank. The book then presents a survey of various aspects related to the institutional set-ups of inflation targeting (IT) central banks. Building on the survey, it proposes a number of indices that will allow for a synthetic assessment of several dimensions related to the conduct of monetary policy. These indices will be helpful in comparing the institutional set-ups of the analysed IT economies, that is, in identifying the main differences and similarities between inflation targeters.
