finding is that the behavior of the domestic variables (for instance, output, inflation) is quite sensitive to the monetary … less so. Among different policy rules, domestic inflation targeting achieves the best stabilization outcome of aggregate … of consumer price inflation performs similarly well"--National Bureau of Economic Research web site …

expected means of future interest rates, exchange rates and inflation. More recently, these methods have been refined to rely …

finding is that the behavior of the domestic variables (for instance, output, inflation) is quite sensitive to the monetary … less so. Among different policy rules, domestic inflation targeting achieves the best stabilization outcome of aggregate … of consumer price inflation performs similarly well …

The paper argues that the reason real world fixed exchange rate regimes usually have finite bands instead of completely …

and higher future inflation. This lowers the real interest rate and reduces the recession during the liquidity trap. The … prevent the rest of the world from achieving its monetary-policy objectives, if the rest of the world is not in a liquidity … international risk sharing), the rest of the world may fall into a liquidity trap. This nevertheless moves the world equilibrium …