Anti-Inflationary Measure

(redirected from Anti-Inflationary Measures)

Anti-Inflationary Measure

Any policy a central bank or other agency takes to reduce the inflation rate. In general, anti-inflationary measures involve raising key interest rates, sometimes dramatically, to cut down the money supply. Other anti-inflationary measures include things like instituting price controls, changing the peg of a currency, and outlawing inflation. Raising interest rates, however, is considered to be the best anti-inflationary measure for a floating, fiat currency. See also: Tight money.
References in periodicals archive ?
Namely, the policies need to focus on macroeconomic fundamentals, progrowth, anti-inflationary measures and pro-government savings.
According to them ,if adequate anti-inflationary measures are not taken on top priority basis, the overall general inflation might remain in double digit figure which poses a severe threat to macro-economic stability.
It is possible to identify the anti-inflationary measures targeting excess demand and inflation by tempering factors that determine costs.
Indian share prices fell for the first time this week on investors' concerns that anti-inflationary measures being taken by the central bank have started to cool demand and hurt corporate earnings.
EThe recent decline is also attributable to a slight drop in cargo traffic with Asia, following the countercyclical and anti-inflationary measures in China and the impact of the earthquake in Japan.
0 per cent, as government has taken several anti-inflationary measures.
With worries over inflation grabbing the headlines, the budget also includes some anti-inflationary measures.
government unveiled a set of anti-inflationary measures, including a freeze in
Pranab Mukherjee, however, said inflation is a major area of concern, adding that the Government has taken a number of anti-inflationary measures to bring down the rate of inflation, which has moderated to 8.
The central bank president of Brazil, Henrique Meirelles, said that the country would take aggressive anti-inflationary measures to guard against inflation in the country.
Besides placing undue faith in the Fed's ability to time perfectly any necessary anti-inflationary measures, the consensus suggests that the nation's central bank now has the heretofore undiscovered ability to increase the money supply without creating inflation.
He said that Kuwait implemented timely anti-inflationary measures and it became the first Arab state to de-peg its currency from the dollar.