. These include the distinction between the short and long-run trade-offs between inflation and unemployment, and the changing … level of the non-accelerating inflation rate of unemployment (NAIRU), particularly in the 1970s. We estimate Phillips curves … discussion of the changing role of the Phillips curve in the intellectual framework used to analyse inflation within the Reserve …

the headline CPI, exclusion-based ‘cores’, and trimmed means as measures of underlying inflation. Overall, we find that … support to the use of trimmed means as useful measures of underlying inflation at the current juncture where the growth of … China and other emerging markets is having two offsetting effects on global inflation. Whereas some central banks have …

Ball and Sheridan (forthcoming) show that OECD countries with a history of high inflation before the 1990s have … subsequently experienced a larger degree of disinflation than countries with a history of low inflation. They label this process … ‘regression to the mean’, and argue that it explains why those OECD countries which adopted inflation targeting experienced larger …

information about inflation expectations – that survey measures of expectations are inconsistent with rational expectations, but … less so for financial markets than households; that actual and expected inflation interact with each other; and that the … foreign exchange market anticipates tighter monetary policy when inflation is higher than expected. The second half of the …

favour of the SIPC over the low-inflation period. Parameter estimates are sensitive to inflation measures and sample periods … the fact that inflation has become difficult to model since the introduction of inflation targeting. Over sample periods …

include that a positive output gap would be less inflationary, but the cost of reducing inflation, once established, would …

low-inflation policies that have been adopted by a number of central banks in recent years. This credibility problem is … particularly severe for those countries that have a history of high inflation. Gaining credibility is often viewed in the context … aspect of credibility – at least for long-term inflation expectations – may be public views about how future changes in …

and consumer prices. The stylised facts underlying each equation are discussed and estimation results are presented. The …

, by reducing the extent of intermediated finance, can reduce output below potential and keep inflation below the central … this means that expected inflation is below target in the short run. Such a policy is optimal because it can help to avoid …

This paper presents a new measure of underlying inflation: component-smoothed inflation. It approaches the problem of … determining underlying inflation from a different direction than previous methods. Rather than excluding or trimming out volatile … signal. Because our underlying inflation measure includes all CPI items at all times, it is robust to sustained relative …