Ex BOJ Official on BOJ Inflation Accord

The transcript discusses the Bank of Japan's (BoJ) commitment to achieving a 2% inflation target and the flexibility of this goal. It highlights the joint statement between the BoJ and the government, which includes a clause on financial disequilibrium caused by accommodative monetary policy. The BoJ faces challenges such as bond market dysfunction, which may necessitate changes in yield curve control. The interpretation of the accord is crucial, and it is up to the new governor to balance side effects and policy effects without altering the accord itself.

In what ways might the accord need to be revised according to the text?

What role does the new governor play in interpreting the existing monetary policy code?