Svensson: aim inflation expectations above target

Lars Svensson, a deputy governor of the Riksbank, has said that central banks should foster expectations of above-target inflation in order to spur employment.

Svensson told Dow Jones, a news agency, in an interview published Tuesday that keeping interest rates low would help moderate job losses and that some inflation was not to be feared as the risks of inflation being above target were smaller than it being below.
Svensson has written several papers on inflation targeting and contributed to

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