The value of words.

Like corporate accounts, economic statistics should be audited--not just to check whether a number is accurate, but whether the emotive words attached to it are correct. The latest example relates to inflation. Central bankers, brought up to believe that a rise in inflation is always bad, and a fall is good, are the main culprits. In his press conference on July 10th Wim Duisenberg, president of the European Central Bank (ECB), said no fewer than four times that the outlook for prices was favorable. He meant inflation was falling. But to critics of the ECB, who believe that the 2% ceiling for its inflation goal is too low, "favorable" might imply a rise in inflation. More blatant still is the Maastricht treaty: countries wanting to join the euro must have inflation rates no more than 1.5 percentage points above the inflation rates in the three "best performing" member states.