This paper examines whether the clarity of central bank communication about inflation has changed with the economic … environment. We use readability statistics and content analysis to study the clarity of communication on the inflation outlook by … explaining their policies when faced with higher uncertainty or a less favorable inflation outlook. The global financial crisis …

of inflation risks. The empirical application shows that trading off monetary and macroprudential policy reduces the … overall costs related to inflation and financial instability. This can be achieved by changing the preferences of the central … bank, lengthening the monetary policy horizon and by a more flexible inflation target. Estimation results of a probit model …

of inflation on growth and economic welfare. It is shown that the traditional approach to measure the welfare costs of … inflation may be misleading: It ignores the costs or benefits of the transition to the new steady state. This omission may bias … estimates of the total welfare gains to be achieved by reducing inflation and of the optimal degree of disinflation. It is also …