the output gap related to changes in the trend of inflation shows an excess demand of around 1 per cent. The rise in the … trend of inflation is only very slightly visible, since it is hidden by certain real demand shocks that have temporarily … driven inflation down. …

This paper surveys the empirical literature on the benefits of low inflation emphasizing contributions since 1990. It … at the costs of inflation, or the benefits of price stability, in the context of four themes: inflation creates … uncertainty about the future; there are costs of having to cope with inflation; inflation affects equity and fairness; and 'living …

transitory effect on output but that affect the trend inflation rate, is compared with the decomposition method proposed by … in inflation in these three countries. This suggests that the long-term neutrality hypothesis about the production of … inflation-influencing shocks is a good approximation. We also find that only a small part of the output variance reflects …

A vector error-correction Model (VECM) that Forecasts inflation between the current quarter and eight quarters ahead is … found to privide significant leading information about inflation. The model focusses on th effects of deviations of M1 from …

This paper examines the performance of M1 in an indicator model of inflation over time horizons as long as 16 quarters … the deviations of M1 from its long-run path provide "distant-early-warning" information about the future path of inflation. …

The purpose ot this study is to test the hypothesis that inflation uncertainty increases at higher levels of inflation … conditional variance of the error term to be time-varying. Since this variance is a proxy for inflation uncertainty, a positive … relationship between the conditional variance and inflation would be interpreted as evidence that inflation uncertainty increases …

notion of credibility of monetary policy through expectations of inflation. The USM features a Phillips curve, an IS curve …, and a function representing the reaction of monetary authorities. Expectations of inflation are centred on the inflation … target. The Phillips curve is specified in terms of the output gap and takes the effects of productivity on inflation into …