. Smaller Fed policy errors accounted for the fall in inflation volatility. Smaller supply shocks accounted for the fall in …

combine an inflation target, Fisher equation, policy reaction function and short and long run aggregate supply analysis to … shock to demand, a negative supply shock and dislodged inflation expectations. We also illustrate the problems of a zero …

performs better than an explicit inflation target as proposed by Svensson. The reason is that an inflation target produces a … higher variance of inflation. It is also shown that it is optimal to offer a linear inflation contract that does not depend …

to successfully implement an inflation targeting regime. We conclude that although there is place for changes to the … legal framework to improve the environment for implementing inflation targeting, much can be done under the current …

We study the characteristics of inflation targeting as a shock absorber, using quarterly data for a large panel of … natural disasters. We find that inflation targeting improves macroeconomic performance following such exogenous shocks. It … lowers inflation, raises output growth, and reduces inflation and growth variability compared to alternative monetary regimes …

We study the characteristics of inflation targeting as a shock absorber in response to large shocks in the form of … natural disasters for a sample of 76 countries over the period 1970-2015. We find that inflation targeting improves … macroeconomic performance following such shocks as it lowers inflation, raises output growth, and reduces inflation and growth …

changes while after October 2000, when inflation targeting was officially adopted, monetary policy reacted only statistically … to changes in the inflation rate. The latter regime is consistent with the Taylor principle as shown analytically and …

renewal of the inflation targeting framework. While a comprehensive overview would be impossible to provide, it seeks to … the inflation targeting framework, its key elements and the principles of how it operates in practice. The paper then … explains criticisms of the inflation targeting framework in light of the financial crisis and the practical, strategic and …