.S. output-inflation process, which implies that excess demand conditions are much more inflationary than excess supply … overheats because this will necessitate a severe tightening in monetary conditions in order to reestablish inflation control …. The small model of the U.S. output-inflation process developed in the paper shows that the seeds of large recessions, such …

This paper develops a small model of the output-inflation process in the United States in order to examine the … interest rates respond contemporaneously to output and inflation and a forward-looking policy rule that exploits information … model of inflation where positive deviations of aggregate demand from potential are more inflationary than negative …

Many central banks in emerging and advanced economies have adopted an inflation-forecast targeting (IFT) approach to … monetary policy, in order to successfully establish a stable, low-inflation environment. To support policy making, each has …-fledged inflation targeting …