In this paper, we investigate the nature of structural breaks in inflation by estimating a version of the New Keynesian … Phillips curve (NKPC) in the presence of a unit root in inflation. We show that, with a unit root in inflation, the NKPC … correlated (or a component of inflation that is not explained by the conventional forward-looking NKPC). Our empirical results …

In this paper, we investigate the nature of structural breaks in inflation by estimating a version of the New Keynesian … Phillips curve (NKPC) in the presence of a unit root in inflation. We show that, with a unit root in inflation, the NKPC … correlated (or a component of inflation that is not explained by the conventional forward-looking NKPC). Our empirical results …

the countries in the region. Fourth, the estimated output gaps did not have any explanatory power on domestic inflation …

This paper presents a new mechanism through which monetary policy rules affect inflation persistence. When assuming … the traditional demand channel of monetary transmission have a long-lasting effect on inflation dynamics. The Calvo model … around positive trend inflation. With realistic calibration of trend inflation and the monetary policy rule, the model can …

The reduced-form correlation between inflation and measures of real activity has changed substantially for the main … developed economies over the post-WWII period. In this paper we attempt to describe the observed inflation dynamics in the … log-linearised around different, non-zero, steady-state inflation levels. In doing this, we follow a two-step estimation …

, and hence in the barriers to entry and in impediments to competition, on inflation dynamics since the early 1980s. …

This paper explores the relationship between the level of inflation, inflation variability, and output performance in … the Venezuelan economy for the period 1951-2002. The paper examines the mechanism through which higher inflation … inflation produces more inflation volatility /uncertainty that leads to relative price variability that in turn, is harmful for …

-19th century, in Italy the link between inflation and the economic cycle emerged only after the First World War. We argue … of inflation (the second half of the twentieth century). Our findings may also have important implications for present …