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Central bank independence (CBI) is a very important precondition for price stability. However, the empirical evidence for a correlation between both is relatively weak. In this paper, this weakness is countered with a) an extended measure of monetary commitment, which includes well-known...
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The overall rise in the cost of goods and services over time in an economy is referred to as inflation, an economic … this page is to provide a thorough explanation of inflation, including its sources, impacts, and mitigation techniques …
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the inflation–unemployment dynamics during the recession and COVID-19 times in India and the UK. Using a generalized … recession and eventually turn to stagflation in India due to inflation caused by the weak supply side. However, in the UK, the …The recession in India and the UK peaked in 2017 due to the implications of new policy initiatives. The outbreak of the …
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This paper challenges the assumption that the inflation process within the euro area is well-described by a linear … Phillips curve and investigates in a nonparametric framework how inflation is sensitive to output growth. An asymmetric output-inflation …
Persistent link: https://www.econbiz.de/10013136535
With sticky prices, optimizing agents and money in the utility function, I derive the exact analytical solution for optimal monetary policy given a zero lower bound (ZLB) on the interest rate. The Phillips curve is Neo-Classical, and the ZLB is then not a constraint on optimal policy. Optimal...
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