This paper aims to show some interesting relationships between credibility-reputation economic theory and inflationary expectations - since Brazil adopted inflation target regime, in June of 1999. The main findings are, at first, that Central Bank of Brazil (CBB) has high capacity to influence inflationary expectations if it was successful in reaching its inflation target in recent years, secondly, inflationary expectations are heterogeneous when CBB has high reputation but its inflation targets are loosing credibility
