Roux, Nicolás De; Hofstetter, Marc - UNIVERSIDAD DE LOS ANDES-CEDE - 2012
Two recent papers (Gonçalves and Carvalho, 2009; and Brito, 2010) hold contradictory views regarding the role of inflation targeting during periods of disinflation. The first paper claims that inflation targeting reduces sacrifice ratios-i.e., the ratio of output losses to the change in trend...