both deviations from the policy rule and a drifting inflation target. Once the inflation target is fixed, the incidence of …

Was UK inflation more stable and/or less uncertain before 1914 or after 1945? We address these questions by estimating … a statistical model with changing volatilities in transient and persistent components of inflation. Three conclusions …

autoregressive model for the inflation rate. By construction, our approach avoids a number of problems related to the GMM estimation … of the NKPC. We estimate the hybrid NKPC with quarterly U.S. data (1955:1–2010:3), and both expected future inflation and … lagged inflation are found important in determining the inflation rate, with the former clearly dominating. Moreover …

, these preferences fail to generate observed inflation inertia and output persistence after a monetary policy shock …

flows can have different rates of return; and (iii) an increase in inflation raises asset prices, lowers their returns, and … widens the rate-of-return differences between assets. On the normative side we show that there is a range of inflation rates …

oil. Optimal policy fully stabilizes core inflation when wages are flexible. The nominal rate rises (falls) in response to … the demand (supply) shock. With sticky wages core inflation falls (rises) in response to the demand (supply) shock …. Impulse response functions from a VAR estimated with post-1986 U.S. data show minimal movement in core inflation in response …

In this study, we develop a search-and-matching monetary growth model to analyze the effects of inflation on economic …-and-matching model. We find that the channel through which inflation affects economic growth in the search-and-matching model is … effects of inflation on economic growth using panel regressions. In the simulation analysis, we quantitatively evaluate the …