Arbeitspapier
Price-level Targeting versus Inflation Targeting in a Forward-looking Model
This paper examines a price-level target in a model with a forward-looking Calvo-Taylor Phillips curve. Contrary to conventional wisdom, it is found that price-level targeting leads to a better trade-off between inflation and output-gap variability than inflation targeting, when the central bank acts under discretion. In some cases, price-level targeting under dircretion results in the same equilibrium as inflation targeting under commitment.
- Language
-
Englisch
- Bibliographic citation
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Series: Sveriges Riksbank Working Paper Series ; No. 106
- Classification
-
Wirtschaft
Monetary Policy
Central Banks and Their Policies
- Subject
-
Monetary policy
Price-level targeting
Inflation targeting
- Event
-
Geistige Schöpfung
- (who)
-
Vestin, David
- Event
-
Veröffentlichung
- (who)
-
Sveriges Riksbank
- (where)
-
Stockholm
- (when)
-
2000
- Handle
- Last update
-
10.03.2025, 11:43 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Vestin, David
- Sveriges Riksbank
Time of origin
- 2000
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