In theory, low inflation should mean more jobs. In practice, scope is limited.
Inflation, as everyone knows, is never beaten. Rather, it can be subdued for a while before it regroups and comes back with a vengeance. This has been the pattern of recent years. In the mid-1980s, for example, the collapse in world oil prices led everyone to believe the inflation dragon had been slain. But a couple of years later, and particularly in Britain, it was back, in virulent, fire-breathing form.