inflation expectations. We develop this measure using assumptions common in economic analysis of open economies. Using quarterly …

optimal policy is a output and inflation. In an open economy, the optimal rule changes in two ways. First, the policy … instrument is a Conditions Index the exchange rate. Second, on the right side of the rule, inflation is replaced by filters out … the transitory effects of exchange-rate movements. The model also implies that pure inflation targeting is dangerous in an …

sector bias of sbtc during the 1970s and 1980s. The hypothesis is also strongly supported by more structural estimation on U …

This paper links business cycle volatility to barriers on international mobility of goods and capital. Theory predicts …

This paper estimates the efficiency consequences of interactions between nominal tax systems and inflation in open … economies. Domestic inflation changes after-tax real interest rates at home and abroad, thereby stimulating international … capital movement and influencing domestic and foreign tax receipts, saving, and investment. The efficiency costs of inflation …