The World Bank Group (WBG) has adopted a new strategy which sets two ambitious goals of ending extreme poverty and promoting shared prosperity. To operationalize the twin goals, the WBG is developing a more evidence-based and selective country engagement model, the Country Partnership Framework...

The purpose of this paper is focus directly on the phase shift. For one thing, we ask whether a sticky-price model economy can account for both countercyclical prices and procyclical inflation. We present findings in which the price level is countercyclical and the inflation rate is procyclical....