increasing savings in the us by curbing the budget deficit, and reforms of the financial sector in china and subsequent gradual floating of the renminbi exchange rate. the central bank must consider possible scenarios of developments in the global economy and possible adjustments of global imbalances, as they significantly impact the perspectives of a national economy, and so the monetary policy pursued. moreover, the central bank, as an institution that manages foreign exchange reserves, must monitor changes on the global financial market, as these changes and investment decisions made by the central bank influence the return on foreign exchange reserves. this thesis was advanced, among others, in the frequently quoted work : m. dooley, d. folkerts - landau, p. garber “ an essay on the revived bretton woods system “, nber working paper 9971, september 2003. re 2 ) globalisation changes the wage and price setting mechanisms in a domestic economy. this ensues from the increased international competition and the growing role of outsourcing and offshoring. offshoring consists in transferring of manufacturing, services or orders abroad, where such transfer may be made within a single company or to another company. outsourcing consists in renouncing manufacturing or services in a given company and obtaining such goods or services from another company that may be located in the same or another country. in the past, the major part of the chain of manufacturing and services used to be located in a given country, which meant that, from the monetary policy perspective, the domestic demand was of great importance, and in particular - the size of output in relation to its potential level i. e. the so - called output gap. the impact of the global economy, on the other hand, was observed mainly due to changes in the terms - of - trade i. e. the ratio of export to import prices, which in turn was affected by, among others, commodity prices and changes in external demand. nowadays, inter alia as a result of globalisation of production and services, the role of the domestic output gap in explaining inflation has decreased significantly, as shown by the bis research 6. as in the case of the model applied by the nbp in forecasting inflation, the role of the output gap as a factor that determines inflation is much smaller than it used to be. in old books on macroeconomics inflation is treated largely as a local development, i. e. dependent in a great measure on domestic factors ( such

the central bank. one of the features of modern central banking is gradual homogenisation of the strategies applied to the monetary policy. since 1990, when for the first time the central bank of new zealand started to implement the strategy of direct inflation targeting ( dit ), over 20 central banks followed and adopted that strategy. as a result, the dit strategy ( applied since 1998 by the nbp ) is now the dominating strategy of the monetary policy, applied by the majority of central banks in developed countries 22, and more and more, by central banks of the developing countries ( such as turkey, the philippines, ghana, romania and armenia ). a bloom of the dit strategy endorses the observation that central banks adopt the “ technology ” of low and stable inflation from one another. the dissemination of the dit strategy was accompanied by a decrease in the average inflation level, especially in the developing countries that lowered inflation from a high level. this may prove that the dissemination of the dit strategy was one of the factors that have contributed to disinflation. admittedly, the impact of the dit strategy on lowering inflation is a subject matter of discussion 23 ; however, empirical evidence exists that implementation of the dit strategy improves macroeconomic this is even called the greenspan ’ s conundrum, after the name of the former chairman of the us federal reserve. fomc ( federal open market committee ) : the decision - making authority on interest rates in the management board of the us federal reserve. hannoun h. – ibidem. tytell i., wei s - j. “ does financial globalization induce better macroeconomic policies? ”, imf working paper 04 / 84, may 2004. the dit strategy is applied in most developed countries outside the euro area and the usa. however, in the case of the euro area, one may talk of the de facto dit strategy, and in the case of the usa – the current chairman, fed ben bernanke, is a zealous dit enthusiast, so its implementation in the usa soon is not out of question. see e. g. “ does inflation targeting matter? ” ball l., sheridan n. in : ” the inflation - targeting debate ” bernanke b. s., woodford m. ( 2005 ). outcomes ( lower costs of stabilising inflation, decreased influence of price shocks and output shocks on inflation, thereby - decreased effect of past inflation