Adam, Klaus; Gautier, Erwan; Santoro, Sergio; Weber, Henning - 2021
these trends requires targeting a significantly positive inflation target. Relative price trends shift the optimal in ation … account in the present paper may push up the optimal inflation targets further. The welfare costs associated with targeting … zero inflation turn out to be substantial and range between 2.1% and 4.5% of consumption in present-value terms. …