The conference was co-sponsored with the Bank of Canada and organized by Robert Amano (Bank of Canada), Jordi Galí (CREI) and Rhys Mendes (Bank of Canada). Its objective was to present recent frontier research exploring some of the challenges facing central banks whose mandate focuses on achieving price stability. The topics of the papers presented included the tradeoffs between inflation and unemployment, the determination of the optimal inflation target, disinflation under learning, the zero lower bound on interest rates, and the redristibutional effects of alternative monetary policy strategies.