Inflation Persistence, Monetary Policy, and the Great Moderation
There is growing evidence that the empirical Phillips curve within the United States has changed significantly since the early 1980s. In particular, inflation persistence has declined sharply. This paper demonstrates that this decline is consistent with a standard dynamic New Keynesian (DNK) model in which: (i) the variability of technology shocks has declined and (ii) the central bank more aggressively responds to inflation. Copyright (c) 2009 The Ohio State University.
Year of publication: |
2009
|
---|---|
Authors: | CARLSTROM, CHARLES T. ; FUERST, TIMOTHY S. ; PAUSTIAN, MATTHIAS |
Published in: |
Journal of Money, Credit and Banking. - Blackwell Publishing. - Vol. 41.2009, 4, p. 767-786
|
Publisher: |
Blackwell Publishing |
Saved in:
freely available
Saved in favorites
Similar items by person
-
Privately optimal contracts and suboptimal outcomes in a model of agency costs
Carlstrom, Charles T., (2013)
-
Fiscal multipliers under an interest rate peg of deterministic vs. stochastic duration
Carlstrom, Charles T., (2012)
-
Privately optimal contracts and suboptimal outcomes in a model of agency costs
Carlstrom, Charles T., (2012)
- More ...