increase in conservatism triggers two opposite effects. It reduces the inflation bias of discretionary monetary policy and … hence the benefits of a reform. It also increases unemployment variability, which increases the precautionary benefits of a …

increase in conservation triggers two opposite effects. It reduces the inflation bias of discretionary monetary policy and … hence the benefits of a reform. It also increases unemployment variability, which increases the precautionary benefits of a …

may in some cases increase the rate of inflation - not only in the end, but even from the start. I show that this … "spectacular" result ceases to hold if the central bank is restricted always to choose the lowest final inflation rate. On the …

such as unemployment. Previous studies indicate that monetary policy affects the output gap only at business cycle … frequencies, but the effects on unemployment may well be more persistent in countries with highly regulated labor markets. We … study the Swedish experience of unemployment and monetary policy. Using a structural VAR we find that around 30 percent of …

a severe macroeconomic recession with mass unemployment. By the early 1990s, workers on fixed-term contracts accounted …