Defining Inflation Targets and the Output-Inflation Tradeoff

  • Jose De Gregorio
  • Published 2006
This paper shows the equivalence between different approaches to the inflationary objective. Defining a range and the percentage of time expected to be within such range is the same as defining a target for inflation projection in a given horizon. Both forms are similar to defining a target in terms of the expected value and desired variance for inflation… CONTINUE READING