inflation and inflation volatility. Using annual data from 1970 to 2011 for a large panel of 180 developed and developing … economies, the results show that, as expected, both measures are positively correlated with output volatility. When the two … empirical findings show that the effect of inflation volatility is positive, while the effect of trend inflation is negative …

inflation and inflation volatility. Using annual data from 1970 to 2011 for a large panel of 180 developed and developing … economies, the results show that, as expected, both measures are positively correlated with output volatility. When the two … empirical findings show that the effect of inflation volatility is positive, while the effect of trend inflation is negative …

During the Great Moderation, macroeconomic volatility declined while firm markups increased. We document a causal … relationship between volatility and markups due to tacit collusion. We exploit the legalisation of interstate banking as an … exogenous decrease in volatility. Using an instrumental variable approach, we show that a 1\% reduction in volatility causes a …