Economic Record最新文献

News and Notices 新闻及通告

IF 1.1 4区经济学

Economic Record Pub Date : 2025-03-14 DOI: 10.1111/1475-4932.12867

引用次数: 0

Changes in the Inflation Target and the Comovement Between Inflation and the Nominal Interest Rate1 通货膨胀目标的变化与通货膨胀与名义利率的变动

IF 1.1 4区经济学

Economic Record Pub Date : 2025-01-13 DOI: 10.1111/1475-4932.12853

Yunjong Eo, Denny Lie

{"title":"Changes in the Inflation Target and the Comovement Between Inflation and the Nominal Interest Rate1","authors":"Yunjong Eo, Denny Lie","doi":"10.1111/1475-4932.12853","DOIUrl":"https://doi.org/10.1111/1475-4932.12853","url":null,"abstract":"<p>Would raising the inflation target require an increase in the nominal interest rate in the short run? We answer this policy question, first analytically in a small-scale New Keynesian model with backward-looking components where a closed-form solution exists, and then, in a medium-scale Smets and Wouters model calibrated to the US economy. Our analysis shows that the short-run comovement between inflation and the nominal interest rate conditional on changes in the inflation target is more likely to be positive, all else equal, as the monetary authority reacts less aggressively to the deviation of inflation from its target. Meanwhile, features of the model that enhance backward-looking behaviour, such as backward price indexation and habit formation in consumption, are shown to reduce the likelihood of the positive comovement. However, our investigations reveal that in both models, this positive comovement or the so-called Neo-Fisherism is prevalent across a wide range of empirically plausible parameter values. Using the Smets and Wouters model with a zero lower bound (ZLB) constraint on the nominal interest rate, we show that raising the inflation target could be an effective alternative policy framework to reduce the possibility of a binding ZLB constraint and to mitigate the potentially large output loss.</p>","PeriodicalId":47484,"journal":{"name":"Economic Record","volume":"101 332","pages":"3-40"},"PeriodicalIF":1.1,"publicationDate":"2025-01-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143612401","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

The Legacy of the Global Financial Crisis, edited by Youssef Cassis and Jean-Jacques Helten (2023), 219 pages + xiv front matter 《全球金融危机的遗产》，由优素福·卡西斯和让-雅克·赫尔滕编辑（2023年），219页+ 14页封面

IF 1.1 4区经济学

Economic Record Pub Date : 2024-12-09 DOI: 10.1111/1475-4932.12850

Aneeq Sarwar

引用次数: 0

Australia's Pandemic Exceptionalism: How We Crushed the Curve but Lost the Race, by Steven Hamilton and Richard Holden (UNSW Press, Sydney, 2024), pp. 228 《澳大利亚的流行病例外论：我们如何碾压曲线却输掉了比赛》，史蒂文·汉密尔顿和理查德·霍尔顿著（新南威尔士大学出版社，悉尼，2024年），第228页

IF 1.1 4区经济学

Economic Record Pub Date : 2024-12-09 DOI: 10.1111/1475-4932.12857

Declan Trott

引用次数: 0

Microeconomics for Managers: Principles and Applications by Richard B. McKenzie, D. Eric Schansberg and Dwight R. Lee (Cambridge University Press, Cambridge, 2024) 《管理者的微观经济学：原理与应用》，作者：Richard B. McKenzie， D. Eric Schansberg和Dwight R. Lee（剑桥大学出版社，剑桥，2024）