increases in domestic inflation. We show that one way to understand these episodes is as manifestations of balance of payments …

Inflation volatility is clearly important for structural analysis, forecasting and policy purposes, yet it is often … overlooked in the literature. This paper compares inflation volatility among advanced open economies with inflation targeting …, the volatility of inflation was similar among countries, even when controlling for monetary policy activity and other …

Lukas Heim evaluates the performance of a price-level targeting rule compared to that of a standard inflation targeting …, and several additional structural disturbances. The results show that - exactly as expected - the volatility of inflation …-side shocks. Since inflation and output are targeted simultaneously, none of the two policies is strictly dominant. Contents …

Using a New-Keynesian small open economy model, we examine the effects of central bank transparency on inflation …

An immigration shock has an ambiguous effect on inflation. On one hand, aggregate consumption increases with a suddenly …. The response of an inflation-targeting central bank to an immigration shock is, therefore, not obvious. We study these … are designed to characterize the possible response of inflation and monetary policy in Chile, a small open emerging …

flexible prices. Second, under the optimal policy the volatility of non-tradable inflation is close to zero. Third, stabilizing … nontradable inflation is optimal regardless of the financial structure of the small open economy. Even for a moderate degree of …