The Paper presents a model in which the exogenous money supply causes changes in the inflation rate and the output … the income velocity of money that can break the otherwise stable relation between money, inflation, and output growth … growth rate. While inflation and growth rate changes occur simultaneously, the inflation acts as a tax on the return to human …

situation poses to price stability. We propose to regard the central banker as a risk manager who aims to contain inflation …

unemployment-inflation tradeoff might indicate not something to be exploited but instead only policy-makers' correctly …

at containing inflation and the deviation of output from potential within pre-specified bounds. We develop formal tools … this loss function under weak assumptions may be estimated from realizations for inflation and output gap data even in the … parameters with respect to the inflation and output objectives during the Greenspan period. We formally test for and reject the …

We study a model with repeated moral hazard where financial contracts are not fully indexed to inflation because … indexed to inflation and, as a result, their investment is more sensitive to nominal price shocks. We also find that the … inflation uncertainty are less vulnerable to a price shock of a given magnitude. The micro predictions of the model are tested …

Following the Asian financial crisis in 1997-98, a number of Asian central banks adopted inflation targeting. We … explore how successful this framework has been by looking at the persistence of inflation, as measured by the sum of the … coefficients in an autoregressive model for inflation, using a median unbiased estimator and bootstrapped confidence bands. We find …

Inflation is a far from homogeneous phenomenon, a fact often neglected in modelling consumer price inflation. This … study, the first of its kind for an emerging market country, investigates gains to inflation forecast accuracy by …

Models for the twelve-month-ahead US rate of inflation, measured by the chain weighted consumer expenditure deflator … prices; introducing non-linearities to proxy state dependence in the inflation process; and replacing the information …

Inflation targeting central banks will be hampered without good models to assist them to be forward-looking. Many … current inflation models fail to forecast turning points adequately, because they miss key underlying long-run influences. The … world is on the cusp of a dramatic turning point in inflation. If inflation falls rapidly, such models can underestimate the …

monetary transmission) and asymmetric food price inflation. Moreover, there is a role for the level of the output gap rather … accounts gave impetus to a monetary policy regime change to inflation targeting from 2000, after a costly transitional period … of monetary mismanagement with low policy transparency. Changes in openness can, however, disrupt the inflation …