common specification, and common estimation methods, we argue that the contradictory findings can be explained by the fact …

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 …

between exchange-rate regimes and consumer price index (CPI) inflation performance. Our results suggest that those countries … with flexible exchange-rate regimes are characterized by higher CPI inflation rates, while the smaller CPI inflation rates … records of CPI inflation rates. These findings are maintained when we analyze the countries using the World Bank …