-price inflation to exchange rate shocks depicts significant persistence. Individual import prices, conditional on changing, respond to … exchange rate shocks prior to the last price change. At the same time aggregate reset-price inflation for imports, like that …

country to another. Inflation did not soar in most Asian countries, including Thailand and Korea, after the exchange rate … depreciated during the crisis. Indonesia, however, suffered very high inflation following a very large nominal depreciation of the … effects of domestic price inflation and sharp nominal exchange rate depreciation in the post-crisis period …

A major challenge for monetary policy is predicting how exchange rate movements will impact inflation. We propose a new …