Economic Bulletin, Vol.3, no.4 - Monetary policy regimes and Bank of Albania's attitude

A monetary policy is able to perform everything and this could evenly happen either to a sound or a fragile economy, otherwise called 'economy in transition'. Irrespective of the growth rate of economy, the macroeconomic stability should be doubted evenly, if the monetary policy will constantly be expansive or whether the obtained macroeconomic indicators will be far from the established targets. The results will be obvious in the growing prices, which tend to make the monetary policy even more expansive, by establishing a vicious circle between monetary policy and inflation