flexible exchange rate regimes. Therefore, this paper determines what the alternative strategies inflation targeting, Taylor …

This paper evaluates inflation forecasts made by Norges Bank which is recognized as a successful forecast targeting … central bank. It is reasonable to expect that Norges Bank produces inflation forecasts that are on average better than other … margin. An explanation in terms of too high speed of adjustment to the inflation target is supported by the evidence. Norges …

that fix exchange rates and those that target inflation. Inflation targeting is a more durable policy; no country has yet … been forced to abandon an inflation target, while many have abandoned fixed exchange rates. Indeed, even though inflation … targeting began only in 1990, the duration of inflation targeting regimes is at least as long as, or longer than all alternative …

inflation target is subject to unobserved changes. It characterizes the effect of disclosure of forecasts on inflation and … the slope of the Phillips curve, the central bank's preference weight on inflation relative to output and the ratio of the … variability of the inflation target relative to the cost-push disturbance. The paper briefly discusses how disclosure of forecasts …

policy literature. The extent to which these firms adjust their prices to lagged inflation has been taken as fixed. We …

monetary policy literature. The extent to which these firms adjust their prices to lagged inflation has been taken as fixed. We …

suggested in the previous literature. The welfare gains are more clearly seen in the reduced volatility of inflation than …

bound on inflation. In contrast, policies geared toward ensuring an output lower bound are insufficient for avoiding …