at containing inflation and the deviation of output from potential within pre-specified bounds. We develop formal tools … this loss function under weak assumptions may be estimated from realizations for inflation and output gap data even in the … parameters with respect to the inflation and output objectives during the Greenspan period. We formally test for and reject the …

output and unemployment and of long-run partisan differences in the inflation rate as implied by the `rational partisan … theory' (Alesina, 1987); (d) we find virtually no evidence of permanent partisan differences in output and unemployment. …This paper studies whether the dynamic behaviour of GNP growth, unemployment and inflation is systematically affected …

The New-Keynesian Taylor-Rule model of inflation determination with no role for money is incomplete. As Cochrane (2007a … invoked if inflation misbehaved. Thus we answer the criticisms levelled at the Taylor Rule that it has no credible mechanism …

, with a deflationary impact on current price and output, for plausible parameterizations. It also causes the money wage to …

Fiscal consolidations achieved by means of spending cuts are much less costly in terms of output losses than tax …

by the conventional theory of the demand for factors of production. …

procurement contracts and invest more than do firms connected to the loser. …