Choi, Kyongwook; Shambora, William; Jung, Chulho - In: Economics Bulletin 5 (2003) 17, pp. 1-6
In this paper we analyze macroeconomic effects of inflation targeting policy in New Zealand using Markov switching model with one time permanent break. Our results show that the inflation targeting policy has significantly changed the inflation dynamics in the New Zealand economy. The Markov...
