English, Article edition: The Inflation-Output Variability Trade-off: OECD Evidence Jim Lee

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  • article
Language
  • English

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Title
  • The Inflation-Output Variability Trade-off: OECD Evidence
Author
  • Jim Lee
Physical Description
  • article
Notes
  • This article employs a multivariate GARCH model to empirically estimate a possible trade-off between output variability and inflation volatility in light of OECD data over the 1984-2001 period. Statistical support for the hypothesized volatility trade-off is equivocal across countries. The mixed findings can be associated with central banks' varying monetary policy responses to exogenous shocks. The trade-off estimates are also found to be consistent with earlier studies that reveal different degrees of central bank commitment to price vis-à-vis output stability. (JEL "E30", "E58", "C32") Copyright 2004 Western Economic Association International.
  • RePEc:bla:coecpo:v:22:y:2004:i:3:p:344-356
Language
  • English
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