We estimate a multi-country, multi-sector New Keynesian model to quantify the drivers of domestic inflation during 2020 …-23 in several countries, including the United States. The model matches observed inflation together with sector-level prices … and wages. We further measure the relative importance of different types of shocks on inflation across countries over time …

Financial repression lowers the return on government debt and contributes, all else equal, towards its liquidation …. However, its full effect on the debt-to-GDP ratio hinges on how repression impacts the economy at large because it alters … model-based counterfactual shows that GDP would have been 5 percent lower, and the debt-to-GDP ratio 20 percentage points …

Financial repression lowers the return on government debt and contributes, all else equal, towards its liquidation …. However, its full effect on the debt-to-GDP ratio hinges on how repression impacts the economy at large because it alters … model-based counterfactual shows that GDP would have been 5 percent lower, and the debt-to-GDP ratio 20 percentage points …

foreign debt; however, high levels of this debt reduces countercyclicality to mercantilist concerns. Higher exchange rate pass …-through to export prices, and having an inflation targeting regime with non-freely floating exchange rates, increase …

employment), inflation and the price level. This paper assesses how these tradeoffs have evolved over time and varied across … outcomes and tradeoffs. We also calculate Sacrifice Ratios (output losses per inflation reduction) and document a historically …

seigniorage finance. This leads to an increase in inflation which, in turn, reduces capital accumulation and growth. At the …

, government policies, exchange rates, and inflation. These findings provide valuable insights into the interplay between the stock …, exchange rates, and inflation, and a positive long-term correlation with GDP, disposable income, and FII involvement. The …

considered. Highly leveraged households are more vulnerable in times of stress, and their debt servicing capabilities might …