Monetary authorities have often voiced their concerns about a high debt level that could potentially restrain their ability to control the short-term interest rate as an instrument of monetary policy. However, monetary policy rules in the literature do not account for such constraints. This paper derives an augmented interest rate rule in which the response of the interest rate to expected infl...

Several authors report regressions where inflation slows economic growth. These results have been criticized because of their sensitivity to the sample analyzed and because there does not appear to be a strong theoretical reason for believing that inflation significantly lowers growth. Indeed, researchers have suggested that inflation proxies for inflation uncertainty or poor economic policy. M...

it is expected that inflation in a country with one currency is convergent in all regions. this has been associated with “convergence” directly. in policymakers’ viewpoint, convergence is a serious topic. although the topic of inflation is investigated in macroeconomics, some inflation indexes, for instance inflation of food prices has attracted special attention. generally, the issue of food i...

the purpose of present paper was to examine the relationship between central bank independence and inflation rate in iran over 1960-2008. first, central bank independence has been accomplished through three indices including legal and real cbi indices and turnover rate of central bank governor index. then, augmented dickey-fuller test for model stationary of variables has been done by applying ...

in regard to both implementation of the second phase of targeted subsidises and the effect of inflation resulted from first phase of it on economic of country, inflation content estimation on economic of country especially agriculture sector is necessary. in this research effect of increasing price of energy carriers on inflation in various reproduction sectors such as agriculture was investiga...

the purpose of this study is finding the sensitivity of central bank independence measurements on its impact on inflation in iran. to this aim different measurements of the central bank independence were calculated using the indices of grilli et al. (1991), cukierman et al. (1992), mathew (2006) and dumiter (2009) for the period 1961-2012 . although results of correlation between cbi index and ...

During several decades, Colombia was considered a very special case among Latin American countries due to its outstanding economic stability. Despite deep political problems and a long tradition of violence, economic growth was sustained. Colombia experienced moderate economic cycles and a steady GDP growth (Banco Interamericano de Desarrollo, 1995). Between 1931 and 1998, the rate of growth of...

this paper estimates the determinants of inflation in iran using a linear and non- linear regression model over the period 1959-2008. in the model specification, the conventional variables (liquidity, production and exchange rate) as well as positive and negative oil revenue shocks, monetary disequilibrium, and demand gap are considered. the results show that nonlinear time series regression mo...

this paper investigates the relationship between inflation and inflation uncertainty for the period of 1990-2009 by using monthly data in the iranian economy. the results of a two-step procedure such as granger causality test which uses generated variables from the first stage as regressors in the second stage, suggests a positive relation between the mean and the variance of inflation. however...