This paper models Chinese inflation using an output gap Phillips curve. Inflation modelling for the world’s sixth … curve for China and show that the output gap, the exchange rate, and inflation expectations play important roles in … explaining inflation. We adjust for structural change in the economy where possible and estimate regressions for rolling sample …

from disturbances to the money market, the variance of output is shown to be an increasing function of the trend inflation … inflation rate. When both disturbances are significant, there exists, in general, a critical non-zero trend inflation rate that …

We examine the dynamics of US output and inflation using a structural time varying coefficient VAR. We show that there … are changes in the volatility of both variables and in the persistence of inflation. Technology shocks explain changes in … volatility of inflation. We detect changes over time in the transmission of technology shocks and in the variance of technology …

The New-Keynesian aggregate supply derives from micro-foundations an inflation-dynamics model very much like the … tradition in the monetary literature. Inflation is primarily affected by: (i) economic slack; (ii) expectations; (iii) supply … shocks; and (iv) inflation persistence. This Paper extends the New Keynesian aggregate supply relationship to include also …