supports the results of Backus and Driffill and of Barro, in that the uncertainty induces low or zero inflation outcomes in the … central result of the work by Backus and Driffill and by Barro is that the uncertainty may provide an incentive for the … government to maintain a socially efficient policy of zero inflation for most of the game, without any formal precommitment …

situation poses to price stability. We propose to regard the central banker as a risk manager who aims to contain inflation … within pre-specified bounds. We develop formal tools of risk management that may be used to quantify and forecast the risks … of failing to attain that objective. We illustrate the use of these risk measures in practice. First, we show how to …

Motivated by policy statements of central bankers, we propose to regard the central banker as a risk manager who aims … at containing inflation and the deviation of output from potential within pre-specified bounds. We develop formal tools … of risk management that may be used to quantify the risks of failing to attain that objective. Risk measures inherently …

Countries that have pursued distortionary macroeconomic policies, including high inflation, large budget deficits and …

potential impact of inflation on: (a) saving through real interest rates (or uncertainty); (b) the income velocity of money; (c …Some channels through which increased inflation tends to reduce economic growth, and vice versa, are studied within a …) the government budget deficit through the inflation tax and tax erosion; and (d) efficiency in production through the …

This paper reconsiders the relationship between inflation, economic growth and external debt, and discusses various … channels through which (a) increased inflation tends to reduce growth and raise foreign indebtedness over time and (b …) declining growth tends to amplify both inflation and debt. Based on a simple model of the simultaneous determination of …

We study the determination of Irish inflation between 1926 and 2012. The difference between unemployment and the NAIRU … is a significant determinant of inflation in a simple backward-looking Phillips Curve that incorporates import prices …