This paper evaluates the performance of two alternative policy rules, a forward-looking rule and a spontaneous adjustment rule, under alternative inflation targets, in terms of output losses in a macroeconomic model, using European Union data. The simulations suggest that forward-looking rules...

This 2013 Article IV Consultation highlights that recent macroeconomic developments in The Federal Democratic Republic of Ethiopia are encouraging, with a significant deceleration in inflation and continued robust economic growth. Despite significant decline in coffee prices and supply...

This Selected Issues paper analyzes pace of economic growth for Brazil. Moderating activity and stubbornly elevated inflation since 2010 have led to a reevaluation of Brazil’s long-term potential growth rate. Growth accounting suggests that potential growth is probably lower than was...

This study estimated Indonesia's potential growth rate and examined its underlying determinants. Implementing a comprehensive program to address key influencing issues can improve the effectiveness of monetary policy, increase financial stability, and support capital market development. This...

Despite a relatively high GDP growth rate over the past decade (2000–10), economic growth in Mauritania has not been able to make a significant dent in poverty. Rapid and sustained poverty reduction requires inclusive growth that allows people to contribute to and benefit from expanding...

Iran has received much attention from a geopolitical and regional standpoint, but its economic challenges have not attracted a similar degree of interest. With a population of 69 million, considerable hydrocarbon resources, a dynamic and entrepreneurial middle class, and a relatively...

This Selected Issues paper covers three topics of particular relevance to Mauritania: export competitiveness and exchange rate policy, the monetary policy framework, and the transfer of government deposits from commercial banks to the central bank. The paper reports on the recent economic...

Statistical data and issues are discussed in this paper. Mauritania reached the completion point under the enhanced Initiative for Heavily Indebted Poor Countries. In July 2004, a new economic team took actions to tighten fiscal and monetary policies. The authorities intend to adopt sound...

Forward-looking behavior on the part of the monetary authority leads least squares estimates to understate the true growth consequences of monetary policy interventions. We present instrumental variables estimates of the impact of interest rates on real output growth for several European...

The introduction of inflation targeting in 2006, together with important economic developments such as dedollarization, marked the beginning of a new macroeconomic framework in Armenia, which is likely to have changed the effectiveness of monetary policy. This paper is the first attempt to...