complementary monetary policy tool to stimulate the economy and combat the risks of deflation when the policy interest rate is at …

This paper examines the causes of deflation in Hong Kong SAR, exploring whether it reflects a prolonged process of … of price equalization as a source of deflation is minor. Deflation in Hong Kong SAR is best explained by successive …

I model deflation, at zero nominal interest rate, in a microfounded general equilibrium model. I show that deflation … instead of deflation. This is optimal, since it curbs deflation and increases output by lowering the real rate of return …

This paper presents a comprehensive econometric analysis of the determinants of deflation in Hong Kong SAR. The … excess capacity in determining deflation. The main conclusion is that the effects of permanent shocks, such as productivity … important in explaining deflation. In addition, the effects of temporary shifts in aggregate demand have been perpetuated by …

This paper examines the cost of deflation in the context of Japan''s ongoing deflationary episode. The impact of … deflation owing to the zero interest rate bound on monetary policy, wage rigidity, redistribution of wealth from debtor to …

advanced countries as well, but we find that deflation risk from aging is not inevitable as ambitious structural reforms and an …