inflation expectations. We develop this measure using assumptions common in economic analysis of open economies. Using quarterly …

Monetary rules may have a large effect on the outcome of trade wars if central banks target the CPI inflation rate or … nominal exchange rate or even better target the CPI inflation rate, trade wars are much less intense than those under PPI … inflation targeting. We further show that an optimally delegated monetary rule that internalizes the formation of non …

each country faces a short run tradeoff between output and inflation. The model is sufficiently tractable to solve … response to domestic inflation, under cooperation they should respond to foreign inflation as well. In either scenario …

This paper examines the shift in the relation between the inflation rate and the rate of growth of real output which … possible lines of explanation: a) the new classical view of the output-inflation tradeoff, initially specified by Lucas;b) the … effect of supply-side shocks, such as energy prices; c) the effect of inflation variability on the natural rate of real …

curves display similar patterns of instability and to examine lead-lag patterns in how individual inflation series change. We …

for the unemployment-inflation tradeoff and for the conduct of monetary policy.<br><br>We proceed in two steps. We first … setting by firms. We derive the relation between inflation and unemployment and discuss how it is influenced by the presence … of labor market frictions and real wage rigidities. We show the nature of the tradeoff between inflation and unemployment …

unemployment on inflation, for given expected inflation, decreased until the early 1990s, but has remained roughly stable since …-recession trend, suggesting hysteresis. Second, while inflation has decreased, it has decreased less than anticipated, suggesting a … breakdown of the relation between inflation and activity. To examine the first, we look at 122 recessions over the past 50 years …

discretionary monetary policy in an international setting. If countries follow monetary policies of flexible inflation targeting … much higher tariffs, high inflation rates, and substantially larger welfare costs. We quantify the effects of a global …. We find large welfare benefits of an inflation targeting monetary policy for all countries …

unemployment-inflation tradeoff since 1995 …

The paper provides an integrated analysis of globalization effects on the inflation-output tradeoff and monetary policy … flatten the Phillips curve, the tradeoff between inflation and activity. Second, the same globalization forces lead the … welfare-based monetary policy to be more aggressive with regard to inflation fluctuations, and at the same time, more benign …