) a macroeconomic game between two countries' with inflation-bias preferences confronting uncertain demands for moneys. In …

reunification. A policy that separates learning from control may induce a persistent upward bias in money growth and inflation, just …

output-inflation volatility frontier of each model for alternative specifications of the interest rate rule, subject to an …-difference of the federal funds rate responds to the current output gap and the deviation of the one-year average inflation rate … complicated rules (i.e., rules that respond to a larger number of variables and/or additional lags of output and inflation …

Monetary policy is modeled as governed by a known rule, except for a time-varying target rate of inflation. The …-expectations model of the U.S. economy, are used to examine the benefits of reducing the variability in the target rate of inflation. We … greater attention to output stabilization than otherwise. The results provide insights as to why inflation-targeting countries …

expected inflation. The inability of the Fed to maintain a credible commitment to low interest rates in the face of increased … government spending and rising inflation led to the Fed-Treasury Accord of March 1951. Following the Accord, the external …