the Great Inflation and the Great Moderation. …

competition to influence domestic inflation. By comparing the unrestricted and restricted specifications, we provide evidence that … foreign competition plays an important role in accounting for the behavior of inflation in the traded goods sector. Our … inflation in the 1990s. Our results also provide evidence against demand curves with a constant elasticity in the context of …

unemployment-inflation tradeoff might indicate not something to be exploited but instead only policy-makers' correctly …

concentrated in the second year after the shock. (2) Inflation responses are more varied. The median CPI inflation response peaks … consumer price inflation. Evidence of sustained inflation (as in the case of Germany) therefore must reflect a favorable … cumulative inflation and real growth responses, some countries such as Italy, France and Japan have fared well when faced with …

channel through which monetary policy lowers the volatility of inflation and, even more importantly, output. …

-neutrality; leads to a strong positive correlation between inflation and output; and contributes significantly to output volatility. We … find, however, that this increased volatility arises mostly at the higher than business cycle frequencies; leads to lower …

Does time-varying business volatility affect the price setting of firms and thus the transmission of monetary policy … Climate Survey the impact of idiosyncratic volatility on the price setting behavior of firms. In a second step, we use a … calibrated New Keynesian business cycle model to gauge the effects of time-varying volatility on the transmission of monetary …