methodology to three simple interest-rate rules: inflation-forecast-based (IFB) rules with a discrete forward horizon, one … targeting a discounted sum of forward inflation, and a current wage inflation rule. We use an estimated DSGE model of the euro …, indicating that policy can be highly forward-looking without compromising stabilization. The wage inflation rule dominates …

striking negative correlation between the evolution of the long-run coefficient on inflation in the monetary rule and the … evolution of the persistence and predictability of inflation relative to a trend component. Using a standard sticky-price model …, we show that a more aggressive policy stance towards inflation causes a decline in inflation predictability, providing a …

policy rules and of the optimal unconstrained rule under commitment. The study reaches two main conclusions. First, inflation …

Can the aging process affect inflation? The prolonged decline of fertility and mortality rates induces a persistent … downward pressure on the natural interest rate. If this development is not internalized by the monetary policy rule, inflation … inflation found in the data for the euro area. In this model, continuing to follow the same rule makes inflation to be on a …