challenges. i would say that we have seen clear examples of this conflict in recent years : in june 2018, analysts at handelsbanken capital markets considered it necessary to deny that the riksbank had changed its target variable in a newsletter. 28 the riksbank's focus on cpifxe in connection with the april meeting resulted in questions on whether the riksbank was changing target variable or rudder once again. this is not the case. another example is from september 2018. nyhetsbyran direkt writes : 29 cpifxe inflation ( the cpif excluding energy ), the measure on which the riksbank is currently focusing a lot on, … i have quoted two examples here but there are more. the measure that was intended to make it easier for us to understand and to help us in our monetary policy decision - making has instead come to be perceived as the actual target for monetary policy. for my part, i handle the trade - off between taking in other measures than actual inflation in the assessment and being clear that cpif inflation is the target for monetary policy as follows. the desirable properties for an underlying measure as i described earlier in my speech are very important to me. the underlying measures i analyse are of decisive significance when assessing the development of inflation. and i can say here that cpif excluding energy does not fare well in the competition. handelsbanken capital markets, ranterullen 25 june 2018. 29 19 october 2018. 15 in my speeches and presentations on monetary policy, i have in principle always referred to cpif inflation. when i have included underlying measures, they have never been alone. this has been my way of emphasising that it is cpif inflation – nothing else – that is the target for monetary policy. when speaking at the monetary policy meetings i have gone a stage further. on these occasions i have in principle never discussed underlying measures, but focused entirely on cpif inflation. what have we learnt? there can be a lot of white noise in the time series data used for economic analysis. this applies in particular to monthly data. one therefore needs to adjust the data for white noise and seasonal variations. if one wants to analyse the development of inflation, for instance, one must make these adjustments. the purpose is to calculate the underlying rate of inflation, or, in other words, core inflation. there are largely two different ways of doing this. one is to use more or less advanced statistical methods to adjust for

lost. 1990s crisis : “ things abroad were quite ok, but sweden was not ok ” i hope that it is clear from what i have described so far that the 1990s crisis was in many ways domestically generated. inflation was far too high in relation to other countries, and the deregulation of the credit market and the too expansionary economic policy created an overheating that ended in disaster : the banking crisis, a currency crisis and also a public finances crisis. in somewhat simplified terms, i usually describe the crisis of the 1990s like this : “ things were quite ok abroad, but sweden was not ok ”. there were thus many lessons to be learned with regard to domestic economic policy and not least monetary policy. important lesson – increased elements of “ norm - based thinking ” give credibility to the nominal anchor perhaps the most important individual lesson learnt from the 1990s crisis was the importance of “ norm - based thinking ” and long - term game rules for economic policy. 5 this came to mark the thinking behind the new monetary policy regime. see englund, p., “ the swedish banking crisis : roots and consequences ”, oxford review of economic policy, no. 3, 1999. this way of thinking had been brought up earlier in the debate in sweden, particularly by the swedish centre for business and policy studies ’ economic policy group, but did not have a broad impact on practical economic policy until the 1990s. see, for instance, “ vagen till ett stabilare sverige ” ( the road to a more stable sweden ), economic policy group report 1985, center for business and policy studies ( sns ). a retrospective bis central bankers ’ speeches almost at once, the question arose of what would guide monetary policy in sweden, now that the fixed exchange rate had been abandoned. 6 by this time, some countries had already introduced inflation targets : new zealand was the first in 1990, followed by canada in 1991 and the united kingdom in 1992. in january 1993 the riksbank decided to introduce the inflation target we have now : the annual rate of increase in consumer prices shall be 2 per cent a year. 7 as we saw earlier, it is extremely important that the nominal anchor is credible. the results of academic research indicated that the conditions for attaining low inflation increased if one delegated monetary policy to an independent central bank, which focused on a clearly quantified target. this increased the element of “ norm - based thinking ” in monetary policy. the motives for short - term deviation