case of inflation targeting where the monetary policy instrument is set after looking at the current values of inflation … hypothetical scenario of inflation targeting suggests a sharper response of the interest rate (monetary policy instrument) to …

This article looks at the preconditions that an emerging economy needs to fulfill, before it can adopt inflation … to the independent conduct of monetary policy. This study concludes that inflation band targeting with a wide target …

two-way communication between the central bank and the public affects inflation dynamics. When inflation target is … hence the bank can stabilize inflation. However, when inflation target is unobservable or less credible, the public updates … their perceived inflation target and the information revealed from markets to the bank becomes less perfect. The degree of …

A stylized fact of US inflation dynamics is one of extreme persistence and possible unit root behavior. If so, the … representation of the inflation process, the nonlinear ESTAR, rather than the IMA process with time-varying parameters as in Stock … Reserve inflation targets. We address the issue of whether the source of the Great Moderation can be ascribed to good luck …