inflation targeting, exchange rate management benefits households in the tradable goods sector but in the long run these …

Whether or not inflation targeting adoption leads to increased volatility of exchange rates is controversial. The … volatility increases with inflation targeting as a result of the flexible exchange rate regime. Others argue that inflation … whether interest rate policy in inflation targeting frameworks – that is subjected to control inflation rate – may reduce the …

This paper analyses the effects of two alternative monetary strategies (exchange rate targeting and inflation targeting … that countries in exchange rate targeting have a higher rate of GDP growth and lower inflation rate. In order to test the … related to exchange rate targeting, the effects of the introduction of inflation targeting in the unemployment rate were also …

Emerging economies with inflation targets (IT) face a dilemma between fulfilling the theoretical conditions of strict …

Emerging economies with inflation targets (IT) face a dilemma between fulfilling the theoretical conditions of strict …

crawling peg exchange rate regimes, Colombia adopted a full-fledged inflation-targeting (IT) regime in 1999, with inflation as …

The idea of inflation targeting in emerging countries is not a new one. There have been papers that favor or reject the … done and what problems can arise. Therefore this paper focuses on exchange rate issues for inflation targeting. These … issues have their root in the basic relation that exists in emerging countries between inflation and the exchange rate, a …

of Inflation Targeting. We start applying methodologies developed by Calvo and Reinhart (2002) and Ball and Reyes (2004 …, 2008) to check the probabilities of changes in exchange rate and monetary policy instruments before and after inflation … exchange rate shocks before and after inflation targeting regime. VAR model helps to understand the impacts of switch in …

This document proposes a general macroeconomic framework to analyze the behavior of inflation. This approach has two … price level. When all shocks have a permanent impact, the regime determines the inflation rate, as in inflation targeting … cause the rate of inflation or the price level. With this, a new perspective on four different historical cases emerges. One …

responds to inflation and output volatility, especially during economic crises. This framework offers a promising alternative …