Should central banks target 2% inflation?

Encyclopedia of Opinion

Question: Should central banks target 2% inflation?
Position‹2 of 3›: No, even targeting 2% inflation does not lead to monetary stability

This position holds that even a 2% inflation target fails to deliver real monetary stability. It argues that at 2%, money loses half its value over 25 years, so genuine price stability requires a target of 0% — and that sustained 2% inflation can itself help trigger an economic downturn.

Supporting arguments · 1

Long-term inflation at 2% can cause an economic downturn
Lowering inflation, instead of keeping it at 2%, would be ideal in curbing the negative effects that inflation itself could have on the global economy.