We applied the fractional integration approach to measure inflation deviation inertia in an emerging economy under an inflation targeting regime, as well as to control for potential determinants of such a deviation. We did not base our analysis on typical unit root tests, as we identified a...

Inflation targeting, primary surpluses and a floating exchange rate under supply and exchange-rate shocks can combine to create deleterious effects on the economic dynamic. This paper reports on computer simulation experiments using a dynamic and stochastic model that can incorporate different...

From a methodological perspective, the paper aims to introduce a relativization of the dilemma stability versus unstability in the economic science. Although it was announced by Vercelli (1991), it is not well developed in Economics. While the mainstream regards the economic system as having an...