Inflation in advanced economies is low by historical standards but there is no threat of deflation. Slower economic … growth is caused by supply-side constraints rather than low inflation. Below-the-target inflation does not damage the … reputation of central banks. Thus, central banks should not try to bring inflation back to the targeted level of 2%. Rather, they …

Purpose - This paper aims to examine the effect of both inflation rate and interest rate on stock prices using … to measure the sensitivity in variations in inflation rates and interest rates on stock prices. Design … cointegration analysis show that cointegration exists between the stock prices, the changes in stock prices due to inflation rates …

regime driven by the exchange rate and a third one with inflation targeting. The result is a CVAR with constant long … framework, inflation dynamics in Mexico since the country abandoned the gold standard. The model encompasses known results … parsimonious, it does not require inflation lags nor dummy variables. It also displays a very good pseudo out-of-sample forecasting …

by the announcement of inflation targeting in 1991 when estimating the effects of monetary policy. For instance, we find …