degree of wage indexation is effective in lowering inflation if nominal wages do not provide, on average, full protection … behavior, the fiscal deficit, inflation and the capital stock. Wage controls have been widely advocated as a response to the … capital decumulation and reduce inflation, since wage moderation implies higher government revenues from the profit tax and …

nominal wage and price adjustments in the face of aggregate demand shocks. The evidence illustrates patterns of the wage …

relates average unemployment to average wage inflation; the curve is virtually vertical for high inflation rates but becomes … inflation decreases: this implies a long-run trade-off also between the volatility of unemployment and that of wage inflation. …Wage setters take into account the future consequences of their current wage choices in the presence of downward …

This paper shows that the response of inflation to external shocks is very different when the authorities target the … would have no effect on the steady-state inflation rate under a fixed exchange rate are either inflationary or deflationary …

before and after the January 1992 price liberalization is analyzed here, as are the associated movements of wages and overall …

without hardening enterprise budget constraints, wage and price decontrol tends to destablize the economy and may lead to … persistent budget deficits and inflation. The paper also provides a rigorous analysis of household savings and money demand in a …

) has been to raise inflation targets to provide more room for policy rate easing during crises. This paper addresses a … different issue: the relationship between inflation and welfare. The literature is surveyed and a model is developed. A key … conclusion is that an increase in inflation targets gives rise to additional welfare costs, even after the extra room to maneuver …