Holden, Steinar (contributor); … - 2007
legislation,
wage setting
4
ECB
Working Paper Series No 777
July 2007
1 Non-technical summary
The optimal inflation target … depends of the costs and benefits of inflation. One of the possible
benefits of inflation that has attracted most attention is … terms,
the existence of some inflation will reduce the risk that downward wage rigidity is binding.
Hence some inflation …