The Great Recession and the inflation puzzle
| Autor: | Emil Stavrev, Troy Matheson |
|---|---|
| Rok vydání: | 2013 |
| Předmět: |
Inflation
Western hemisphere Economics and Econometrics media_common.quotation_subject Keynesian economics Hyperinflation High unemployment Great recession Unemployment Misery index Economics General Earth and Planetary Sciences Unemployment rate Real interest rate Phillips curve Finance General Environmental Science media_common |
| Zdroj: | Economics Letters. 120:468-472 |
| ISSN: | 0165-1765 |
| DOI: | 10.1016/j.econlet.2013.06.001 |
| Popis: | Notwithstanding persistently-high unemployment following the Great Recession, inflation in the United States has been remarkably stable. We find that a traditional Phillips curve describes the behavior of inflation reasonably well since the 1960s. Using a non-linear Kalman filter that allows for time-varying parameters, we find that three factors have contributed to the observed stability of inflation: inflation expectations have become better anchored and to a lower level; the slope of the Phillips curve has flattened; and the importance of import-price inflation has increased. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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