Wong: I get fed up with the anti-inflationistas too. Any little upward tick of inflation and they shout for tightening monetary policy; while simultaneously protesting against the monetary expansion required when the recession actually led to deflation in the beginning.
That would be Federal Reserve Act: Section 2A
Section 2A. Monetary Policy Objectives
The Board of Governors of the Federal Reserve System and the Federal Open Market Committee shall maintain long run growth of the monetary and credit aggregates commensurate with the economy's long run potential to increase production, so as to promote effectively the goals of maximum employment, stable prices, and moderate long-term interest rates.
Most central banks have a similar clause in their mission objectives. The key part is the bolded section, which surprisingly (yes, that's sarcasm) has never been followed by the Fed and is completely ignored or mis-understood by anti-inflationists, economists, and pretty much everyone else.
The key here is growing money AND credit at the same pace as the productive* economy over the long run, which if done will do what it says it does. Anti-inflationists look at the amount being added to the monetary supply every year in isolation and scream that it's a bad thing if the number's positive. Almost every economist looks at the money being added while ignoring credit completely and compares it against economic growth, then make their judgements according to which school they subscribe to. This is of course wrong since money and credit are fungible; your credit card or second mortgage spends exactly the same as a stack of dollar bills, thus credit must also be counted as part of the monetary base and factored into inflation adjustments.
Which would of course make the actual inflation rate a lot higher than the official numbers, and that might make the people upset enough to do something about it.
*I'd argue that large parts of the finance, insurance, and healthcare sectors (in the US) don't count since they're merely leeching money from everyone else without adding to productivity in any way.