, we study the implications of different inflation regimes on the racial unemployment gap. Higher trend inflation increases … facing exogenous differences in the job finding and separation rates. We use our setting to study the racial unemployment gap … two groups both in the level and volatility of unemployment. We show that the racial unemployment gap is counter …

Modern Money Theory (MMT) has generated considerable scrutiny and discussions over the past decade. While it has gained … (persistent nonfrictional unemployment, unfair inequalities, and financial instability), their policy proposals do not lead to a …

Global inflation has risen sharply from its lows in mid-2020, on rebounding global demand, supply bottlenecks, and … soaring food and energy prices, especially since the Russian Federation's invasion of Ukraine. Markets expect inflation to … developments, the risk of stagflation-a combination of high inflation and sluggish growth-has risen. The recovery from the …

-have been carried out at no cost to output. After suggesting a new methodology that allows for long-lived effects and inflation … combination of circumstances-i.e. capital inflows, structural reforms and the peculiar recent inflation history-can explain that …

doubt on the expectations theory of inflation control. We present evidence that suggests there is currently little danger …This paper examines the recent increase of the measured inflation rate to assess the degree to which the acceleration … pandemic relief. Some have attributed the inflation to excess demand, most notably Larry Summers, who had warned that the …

of this analysis is that the model overestimates output persistence in high inflation countries and underestimates output … persistence in low inflation countries. This has important implications not only for this model, but also for any economist …

-price staggering models can generate both substantial inflation persistence and a nonzero inflation-unemployment tradeoff in the long …" - although they generate price inertia, they cannot account for the stylised fact of inflation persistence. It is thus commonly … asserted that, in the context of the new Phillips curve (NPC), inflation is a jump variable. We argue that this "persistency …

inflation and labor market dynamics. In particular, it fails to generate a Beveridge curve: vacancies and unemployment are …We explore the role of real wage dynamics in a New Keynesian business cycle model with search and matching frictions in … market flows to more realistic values. However, inflation dynamics are only weakly affected by real wage rigidity. This is …