the average anticipated path of policy responses to inflation is subject to a lower bound of unity. This result helps … explain how bond rates may exhibit stable responses to inflation, even in periods of passive policy. Another possible … explanation is time-varying term premiums with risk pricing that depends on inflation. The authors present a no-arbitrage model of …

longer-term market interest rates by taking into account the relationship between interest rates, inflation, and unemployment … rates. By using vector autoregressive models of monthly interest rates, month-over-month inflation, and unemployment rates … lowering Canadian interest rates relative to what their historical relationship with inflation and unemployment rates would …

The paper analyzes the integration of euro area sovereign bond markets during the European sovereign debt crisis. It …

manage the short-term nominal interest rate in response to deviations of inflation, output, and money growth from their …

Inflation dynamics in advanced countries have produced two consecutive puzzles during the years after the global … financial crisis. The first puzzle emerged when inflation rates over the period 2009-11 were consistently higher than expected … today - was initially observed in 2012, when inflation rates in advanced countries were weakening rapidly despite the …

movements have had important implications for inflation and economic activity in both Canada and the rest of the world. China …