The Optimal Perception of Inflation Persistence is Zero

B-Tier
Journal: Scandanavian Journal of Economics
Year: 2007
Volume: 109
Issue: 1
Pages: 107-113

Authors (1)

Score contribution per author:

2.011 = (α=2.01 / 1 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This study shows that, in an economy with inflation persistence, it is always welfare improving for a central bank that operates under discretion to behave as if there were no inflation persistence. Under reasonable assumptions about inflation persistence, all of the inefficiency associated with discretionary policymaking is then removed.

Technical Details

RePEc Handle
repec:bla:scandj:v:109:y:2007:i:1:p:107-113
Journal Field
General
Author Count
1
Added to Database
2026-01-25