Inflation targeters (ITers) have been very successful in meeting their inflation targets (ITs). Industrial output sacrifice during inflation stabilization and industrial output volatility has frequently been lowered after IT adoption. ITers have consistently reduced inflation forecast errors...

In this paper we present a small macroeconomic model of the Chilean economy. The model comprises four equations that capture the evolution of the main macroeconomic variables, output, inflation, policy interest rate, and the real exchange rate. Analytically, the model is expressed in a way such...

This paper analyzes Latin America’s recent experience with the use of inflation targeting (IT) while the region has made substantial progress toward eradicating high inflation. The paper assesses the implementation and results of inflation targeting in Latin America from a broad perspective....

This study provides a thorough review of the post-1998 slowdown in economic growth in Chile. This was a rather turbulent period in economic history, and as such, it motivates to carry on research on the likely causes of the slowdown and its possible solutions. The authors use an econometric...

A pesar del esfuerzo de reformas de las décadas pasadas, el desempeño económico y social de los países de América Latina durante los noventa fue bastante pobre. La excepción fue Chile, que creció a tasas promedio de 7% durante la mayor parte de la década y redujo significativamente su...