disinflation under inflation targeting policies. The analysis is motivated by the disinflation performance of many inflation … episode price-setting firms' expect inflation to be highly persistent and opt for backward-looking indexation. As the central … bank acts to bring inflation under control, price-setting firms revise their estimates of the degree of persistence. Such …

This paper investigates the forward-lookingness of monetary policy related to stabilising inflation over time under … transition path to the full-fledged inflation targeting regime. The analysis is based on an interest rate-based hybrid monetary …-looking monetary policy rule related to inflation stabilisation. The main results show that monetary policy is fully forward …

Chile, Alan Greenspan of the United States, Helmut Schlesinger of Germany, Markus Lusser of Switzerland, Donald Brash of New …