Nessen, Marianne; Vestin, David - In: Journal of Money, Credit and Banking 37 (2005) 5, pp. 837-63
The analysis of this paper demonstrates that when the Phillips curve has forward-looking components, a goal for average inflation--i.e., targeting a j-period average of one-period inflation rates--will cause inflation expectations to change in a way that improves the short-run trade-off faced by...
