stability, little theory is available to assess the consequences of such measures. This paper offers a theoretical model with …

between monetary autonomy and inflation dynamics in a panel of Caribbean countries over the period 1980-2017. The empirical … results show that monetary independence is a significant factor in determining inflation, even after controlling for … monetary policy for domestic purposes independent of external monetary influences, leads to lower consumer price inflation …

may arise. Ex-ante, the central bank chooses the socially optimal level of inflation. Ex-post, however, the central bank … chooses inflation above the social optimum to reduce the real value of private debt. This inefficient outcome arises when …

We offer a novel methodology for assessing the quality of inflation reports. In contrast to the existing literature …, which mostly evaluates the formal quality of these reports, we evaluate their economic content by comparing inflation … coding of inflation reports to describe inflation factors communicated by central banks in real time. Regarding the latter …

sectoral labor mobility and the optimal weight the central bank should attach to durables inflation arises. The combination of … nominal wage stickiness and limited labor mobility leads to a nonzero optimal weight for durables inflation even if durables …

accountability. We show that a flexible inflation targeting approach that places weight on stabilizing inflation, a measure of … the effects of financial frictions can be ameliorated at little cost in terms of inflation. A range of different financial …