Casiraghi, Marco; Ferrero, Giuseppe - Banca d'Italia - 2015
necessarily symmetric. All in all, the costs of deflation and disinflation tend to exceed those of inflation due to the presence …We explain why the macroeconomic effects of shocks to inflation of the same size, but opposite sign, are not … borrowing limits. When these constraints are binding, they can prevent monetary policy from closing the inflation gap, labor …