We develop a semi-structural new-Keynesian open-economy model, with separate food and non-food inflation dynamics, for … forecasting and monetary policy analysis in low-income countries and apply it to Kenya. We use the model to run several policy …-relevant exercises. First, we filter international and Kenyan data (on output, inflation and its components, exchange rates and interest …

This paper analyzes the monetary policy response to rising inflation in emerging and developing countries associated … with the food and oil price shocks in 2007 and the first half of 2008. It reviews inflation developments in a sample of … of inflation; provides a synthesis of policy responses taken against the background of the conflicting objectives and …

This paper analyzes the monetary policy response to rising inflation in emerging and developing countries associated … with the food and oil price shocks in 2007 and the first half of 2008. It reviews inflation developments in a sample of … of inflation; provides a synthesis of policy responses taken against the background of the conflicting objectives and …

"This book focuses on the impact of monetary policy and food price volatility and inflation in emerging and developing … economies. The tendency for food price volatility to blot inflation forecasting accuracy, engender tail dynamics in the overall … inflation trajectory and derail economic welfare is well known in the literature. The ability of monetary policy to exact …