explicitly on Euro-zone inflation forecastswill diminish problems associated with the large number of country … target inflation - essentially theCzech Republic, Hungary, and Poland - should maintain this monetary policy strategy …

inflation targeting than under output targeting, and that inflation risk premia are higher for policies that strike a balance … between output and inflation stability (and achieve a social optimum) than for policies that target only one of them. …

looking pricing account for the observed persistence in aggregate inflation. Second, price-setting responds to movements in … marginal costs, which should therefore be the driving force to observed inflation dynamics. This is not always the case in … conditions under which imposing homogeneity results in overestimating a backward-looking component in (aggregate) inflation, and …

is dominant, and that price stickiness is smaller in Hong Kong thanin the USA. The results are sensitive to the choice of …

inflation, (ii) expected inflation, (iii) unexpected inflation and (iv) changes in expected inflation. Using the structural … and inflation, we find that the Mundell-Tobin model and the explanation of Fama and Gibbons (1982) are not ceompetitors …

Professional Forecasters to calculate time series ofrisk premia. It is shown that survey data on inflation and output growth …

The long memory characteristic of financial market volatility is well documentedand has important implications for … volatility forecasting and optionpricing. When fitted to the same data, different volatility models calculate theunconditional … variance differently and could have very different volatility persistentparameters. Hence, they produce very different …

This paper presents insights on U.S. business cycle volatility since 1867 derived from diffusionindices. We employ a … volatility across World War I, which isreversed after World War II. While we can generate evidence of postwar moderation relative …

stochastically correlated default intensities, ormultivariate dynamic portfolio choice with volatility and correlation jumps. We then … dynamic portfolio choice. First, we find that a three-factor matrix AJD model can generatevariations of the implied volatility … skew term structures that are largely unrelated to the level andcomposition of the spot volatility.[...] …