Basturk, Nalan; Cakmakli, Cem; Ceyhan, Pinar; Dijk, … - Tinbergen Instituut - 2013
Changing time series properties of US inflation and economic activity are analyzed within a class of extended Phillips Curve (PC) models. First, the misspecification effects of mechanical removal of low frequency movements of these series on posterior inference of a basic PC model are analyzed...