Why Central Banks Target 2% Inflation

About this video

Most people think inflation is always bad. But central banks actually target 2% inflation on purpose. Why would they want prices to rise? Full video: https://www.youtube.com/watch?v=BMBXTqqF0As

From the video

Why Central Banks Target 2% Inflation
Why Central Banks Target 2% Inflation
Birth of a Target
Birth of a Target
A Practical Choice
A Practical Choice

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Why Central Banks Target 2% Inflation