Tatiana, Kirsanova; David, Vines; Simon, Wren-Lewis - In: The B.E. Journal of Macroeconomics 9 (2009) 1, pp. 1-26
We generalize the analysis of inflation bias with dynamic Phillips curves in three respects. First, we examine the discretionary (time consistent) solution in cases where the Phillips curve has both a backward-looking and forward-looking component. Second, we show that the commitment (time...