English, Article, Journal or magazine article edition: INFLATION TARGET ZONES AS A COMMITMENT MECHANISM Felipe F. Schwartzman

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Bookmark: http://trove.nla.gov.au/version/123392
Physical Description
  • preprint
Language
  • English

Edition details

Title
  • INFLATION TARGET ZONES AS A COMMITMENT MECHANISM
Author
  • Felipe F. Schwartzman
Physical Description
  • preprint
Notes
  • In a simple new keyenesian model of monetary policy under discretion constraining the Central Bank to put inflation within a pre-specified Inflation Target Zone can eliminate the inflation bias and, at least for certain parameter ranges, significantly reduce the stabilization bias. Also, it is possible to investigate what is the optimal Inflation Target Zone for different economies. These seem to depend of the structural parameters in a non-linear and often non-monotonic way.
  • RePEc:anp:en2005:038
Language
  • English
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