In this paper we study 2-state Markov switching VAR models of monthly unemployment and inflation for three countries …: Sweden, United Kingdom, and the United States. The primary purpose is to examine if periods of low inflation are associated … variance in unemployment. In the U.S. case we find that the variance of unemployment is lower in the low inflation regime than …

This paper estimates NAIRU (Non-Accelerating Inflation Rate of Unemployment) for the Turkish economy as an unobserved …-accelerating inflation rate of unemployment. Furthermore, all of the derived series are plausible and capture the significant turning points … unemployment and inflation. Meanwhile, the coefficient of exchange rate in the Phillips curve equation suggests a declining, but …

index of monetary conditions; dynamic forecasts of inflation; and the relation between inflation and the output gap …

inflation in the Gulf Cooperation Council (GCC) countries over the 1980-2008 period. We argue that, in GCC countries, money is … supply stands out as a significant determinant of inflation both in short- and long-run. Both foreign prices and the nominal … effective exchange rate are shown to be more successful in explaining inflation in the long-run than the short-run. The half …

The perception that Asia's inflation dynamics are driven by idiosyncratic supply shocks implies, as a corollary, a … economy in the last couple of decades suggest that the drivers of inflation may have changed. This paper presents a … quantitative analysis of inflation dynamics in Asia using a Global VAR (GVAR) model, which explicitly incorporates trade and …

This study provides cross country robust evidence on interdependencies among inflation, output growth and respective … uncertainties for the current era of low inflation policies. We attribute the extant empirical disagreement on these relations to … means to assess the robustness of empirical findings. Over the entire cross section, we find that both inflation and …

rate movements start to influence the price inflation in China in a significant way. This paper estimates a structural …

We give an appraisal of the New Keynesian Phillips curve (NPC) as an empirical model of European inflation. We show … variables as well as the rate of inflation is emphasized.Finally, encompassing tests are applied to open economy versions of the …

inflation; this trade-off has become known as the Taylor curve. Thus, the Taylor curve necessitates that the correlation between … the volatilities of inflation and the output gap be non-positive for optimal monetary policy. Friedman (2006) challenged … choose the level of inflation and output gap volatilities. To better understand the issue, we take an in depth look at the …

The objective of this paper is to assess the conditions for inflation targeting in Pakistan. The recent inflationary … surge in Pakistan calls for rethinking monetary policy afresh. This paper argues the case for inflation targeting in … Pakistan as a policy option to achieve price stability. The country experienced an inflation rate of just below 10 percent …