inflation, with emphasis on the role of oil shocks and accommodative monetary policy. The model features oil as a complementary … VAR. We then show that our model does a good job of explaining unemployment and inflation since 2010, including the recent … inflation surge that began in mid 2021. We show that mainly accounting for this surge was a combination oil price shocks and …

A relation between inflation and the path of average marginal cost (often measured by unit labor cost) implied by the … is shown to again take the standard "new-Keynesian" form, but with an elasticity of inflation with respect to real …

appointment of Volcker marked a change in the conduct of monetary policy, but inflation dropped only when fiscal policy … accommodated this change two years later. In fact, a disinflationary attempt of the monetary authority leads to more inflation if … been confident about the switch, the Great Inflation would not have occurred and debt would have been higher. This is …

monetary policymaking. First, we discuss why trimmed means provide the best measure of core inflation. Second, we outline how … rigidities impede policymakers' ability to control inflation. And third, we describe how alternative shock/rigidity combinations … create inflation's grease (whereby it improves economic efficiency by speeding adjustment) and sand effects (whereby it …

transitory noise and bias. Noise causes short-run changes in measured inflation to inaccurately reflect movements in long … both the noise and the bias in the CPI. Noise reduction is achieved by average monthly inflation in measures called trimmed …As central bankers intensify their focus on inflation as the primary goal of monetary policy, it becomes increasingly …

, Eurostat and the UN is shown to result in downward bias in the CPI and upward bias in real consumption. We conclude that the …

use differences between nowcasts of the output gap and inflation with final, revised estimates of these series to isolate …

unique survey-based measures of expected inflation, output growth, and interest rates, we estimate a small-scale New … guidance less effective. In a counterfactual analysis, we document that inflation would have been significantly higher, and the … public perceived central bank forward guidance statements to be perfectly credible. Moreover, inflation would have declined …

. Among other things, we show that the optimal policy implicitly incorporates inflation targeting. We also characterize the … gains from making a credible commitment to fight inflation. In contrast to conventional wisdom, we show that gains from …