inflows in Emerging Market Economies (EMEs). We introduce a novel theory that identifies an additional rationale for reserve … constrained efficient equilibrium. We test our theory using data from 34 EMEs over the period 1999-2019. The findings support our … theory, as countries with more restrictions on gross capital outflows tend to accumulate larger reserves in response to …

English Abstract: This paper attempts to investigate the Korean households’ inflation expectations with particular … rigidity in Korean households’ inflation expectations is very high. In a month, most of the households simply keep their … inflation expectations the same as before instead of updating them based on newly arrived information. Furthermore, when …

forecasting CPI inflation over the last 10 years (2002Q1-2011Q4). As for the alternative indicators, we select a few concepts of … headline CPI rather than core CPI, and the indicators forecast inflation jointly rather than individually. The better … performance of the alternative indicators is mainly due to their leading correlation with inflation and real activity as well as …