choose a path for the inflation rate that ends with a non-zero value. Such a property is relevant in a wide range of … youth structure. In this setting, profit flows are discounted more heavily than utility flows and the optimal inflation … long-run inflation rate in models with firm entry and exit and in environments with search and matching frictions in the …

In our incomplete markets economy financial frictions affect the optimal inflation target. Households choose portfolios … is driven by the economic growth rate, which in turn depends on individual portfolio decisions. Higher inflation due to … investment. The optimal inflation target boosts growth and welfare and is higher for emerging market economies …

In our incomplete markets economy financial frictions affect the optimal inflation target. Households choose portfolios … is driven by the economic growth rate, which in turn depends on individual portfolio decisions. Higher inflation due to … investment. The optimal inflation target boosts growth and welfare and is higher for emerging market economies …

evaluation of the methodological and empirical advances in the measurement of the extreme market risk. This paper argues that a … value theory (EVT) followed closely by the filtered historical simulation (FHS) are highly accurate methodologies. In …