Inflation is easily managed except, under the current system, in which there is Unemployment, which, though unnatural, perpetually exists due to:
- The Universal Survival Income (USI) absence
- The Universal Minimum Hourly Wages (UMHoW) system presence.
In this case, instead of the Central Bank adjusting monetary policy so as only to curb inflation, they often partially adopt the secondary task of, subject to the current system, minimising Unemployment.
In addition, government fiscal policy (government expenditure & taxation) often contradicts the Central Bank’s inflation fighting strategy.
[Updated July 31, 2022.]