This paper analyzes the role productivity growth had on disinflation in Chile during the 1990s. It argues that … performance, which combined simultaneously very high rates of growth and declining inflation, productivity stands high. The …

Persistent inflation and slow stabilization are usually the result of policy accommodation resorted to in an attempt to … avoid the recessionary costs of a sharp reduction of inflation. This paper reviews three explanations for why policymakers …, despite their dislike of inflation, may nevertheless choose to adopt accommodative policies. It emphasizes the role of …