formulate a model of financing. New Keynesian theory emphasizes that a firm’s net worth influences investment decisions and … banks lending reaction to the net worth ratio is more elastic than investment reaction. When the steady state is the saddle …

I study the effect of the trending relative price of investment on the optimal target rate of inflation. The price of … of investment goods. The resulting optimal target rate of inflation is significantly positive with a median of 1 … investment has a decreasing trend relative to that of consumption because of investment-specific technological progress. If the …

This paper studies the optimal long-run inflation rate in a simple New Keynesian model with occasionally binding … inflation rate is around 1.5% if the economy is hit by a total factor productivity (TFP) shock and nearly 2.5% if the economy is … asymmetric endogenous cost-push shock is positive, inflation is also positive on average. In addition, a binding collateral …

Inflation Targeting for a set of developed and emerging market economies. We use a structural VAR model to estimate the effect … emerging than for developed economies, and that it has decreased after the adoption of Inflation Targeting. We then use several … foreign exchange market intervention after the adoption of Inflation Targeting. As the exchange rate pass-through still …

This paper modifies Calvo and Reinhart's (2002) fear of floating analysis to distinguish between de facto inflation … targeting (IT) and fear of floating (FF) behavior in a sample of 10 de jure inflation targeting countries. We present three main …

type of shock. Expansionary securitization shocks lead to a permanent rise in real GDP and a fall in inflation. Bank …

type of shock. Expansionary securitization shocks lead to a permanent rise in real GDP and a fall in inflation. Bank …

type of shock. Expansionary securitization shocks lead to a permanent rise in real GDP and a fall in inflation. Bank …

type of shock. Expansionary securitization shocks lead to a permanent rise in real GDP and a fall in inflation. Bank …