We analyze the dynamics of inflation in an economy characterized by a forward-looking, staggered, price and wage … determination process, and by monetary accommodation. In our model, inflation reconciles the conflicting claims of workers and firms …. The model is capable of generating a positive association between real wages and inflation, of the type that has been …

We analyze the dynamics of inflation in an economy characterized by a forward-looking, staggered, price and wage … determination process, and by monetary accommodation. In our model, inflation reconciles the conflicting claims of workers and firms …. The model is capable of generating a positive association between real wages and inflation, of the type that has been …

Our paper analyzes the effects of restrictions on capital mobility on the output-inflation trade-off. Using a … capital mobility should make the trade-off parameter smaller; that is, a given change in the inflation rate should be … output-inflation trade-off parameter are obtained from studies by Lucas (1973), Ball, Mankiw and Romer (1988) and others …

the effects of steady inflation. In Keynesian models, nominal shocks have real effects because nominal prices change … infrequently. An increase in the average rate of inflation causes firms to adjust prices more frequently to keep up with the rising … shocks have smaller real effects. We test this prediction by examining the relation between average inflation and the size of …

The resurgence of inflation since the late 2021 is now accompanied by a reversal of prospects of growth, reviving fears … of stagflation across the world (IMF 2022, World Bank 2022). In almost all accounts of the mounting stagflation threats a … prominent role is played by the fall of households' purchasing power, and hence consumption, owing to the inflation shock visà …