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Daniell, Andy - 1994

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Nonparametric Nonlinear Cotrending Analysis, with an Application to Interest and Inflation in the U.S

Bierens, H.J. - Tilburg University, Center for Economic Research - 1996

constructed nonparametrically on the basis of partial sums.We apply this approach to the federal funds rate and the CPI inflation … the inflation rate is positively related to the nonlinear trend in the interest rate.This positive relation between … interest and inflation is known in the literature as the price puzzle. Thus, our result suggests that the price puzzle is due …

Persistent link: https://www.econbiz.de/10011091350