may in some cases increase the rate of inflation - not only in the end, but even from the start. I show that this … "spectacular" result ceases to hold if the central bank is restricted always to choose the lowest final inflation rate. On the …

By driving a wedge between the marginal returns to real and financial capital, inflation distorts production. The … approximately proportional to the square of the original inflation distorsion. …

We demonstrate the existence of a monetary policy tradeoff between price-inflation variability and output … the special case in which prices are sticky and wages are perfectly flexible. When the model is calibrated to exhibit an … empirically reasonable degree of nominal wage inertia, strict inflation targeting induces substantial output-gap volatility. …

We present a model in which inflation has a systematic effect on relative prices and welfare. The model focuces on the … microeconomics of trade under inflation, and in particular, the role of long-term trading relationships in markets characterized by …

Low price inflation is an official monetary policy target in many countries because of the positive effects it may … generate on economic growth. However, if nominal wage rigidities exist, low price inflation may have a negative effect on … economic growth. In this paper we test whether there exists a minimum level in the wage inflation ratefor a number of European …

Low price inflation is an official monetary policy target in many countries because of the positive effects it may … generate on economic growth. However, if nominal wage rigidities exist, low price inflation may have a negative effect on … economic growth. In this paper we test whether there exists a minimum level in the wage inflation ratefor a number of European …

Concerns about the magnitude and length of exchange rate pass-through to consumer prices have increased in many … prices in Nigeria for the period 1995Q1 - 2015Q1. Utilizing the Johansen approach to cointegration and a vector error … correction methodology, the paper found the exchange rate pass-through into Nigeria's CPI inflation to be incomplete. The long …

Emerging market and developing economies (EMDEs) have experienced an extraordinary decline in inflation since the early … 1970s. After peaking in 1974 at 17.3 percent, inflation in these economies declined to 3.5 percent in 2017. Despite a … checkered history of managing inflation among many EMDEs, disinflation occurred across all regions. This paper presents a …