Notwithstanding persistently-high unemployment following the Great Recession, inflation in the United States has been … remarkably stable. We find that a traditional Phillips curve describes the behavior of inflation reasonably well since the 1960s … observed stability of inflation: inflation expectations have become better anchored and to a lower level; the slope of the …

model embodies the key principle that, in an inflation-targeting framework, the role of monetary policy is to provide an … anchor for inflation and inflation expectations. The development and calibration of this model is an ongoing process. …

This paper examines the inflation expectations, monetary policy credibility, and dollarization. Country fundamentals …

direct bearing on the ongoing efforts to move toward a fully fledged inflation-targeting regime and develop interest rates as …

This paper extends a small linear model of the Israeli economy to allow for nonlinearities in the inflation …

Under a flexible inflation targeting regime, should policymakers avoid any reaction to movements in the foreign … exchange market? Using data for six advanced open economies explicitly targeting inflation, the paper examines empirically … monetary policy responses in inflation-targeting, open economies have changed significantly, as the institutional framework for …

This Selected Issues paper for South Africa presents a quantitative analysis of inflation dynamics in the country. The … inflation. Exposed to exchange rate and other shocks, the model confirms that a delayed policy response to inflation shocks … leads to persistently higher inflation rates and, subsequently, to a sharp real contraction of the economy. …

fiscal theory of the price level, but we do not find supportive evidence. The results suggest that the risk of a debt-inflation … predictions of a forward-looking model of inflation. Wealth effects of public debt could also affect inflation, as posited by the … inflation. …

-side flexibility are indeed the main channel through which monetary policy lowers the volatility of inflation and, even more …

We analyse optimal monetary and fiscal policy in a New-Keynesian model with public debt and inflation persistence … striking result is not true with high degrees of inflation persistence. Secondly, we show that optimal fiscal policy is more … active under discretion than commitment at all degrees of inflation persistence and all levels of debt. …