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- W2780500076 abstract "Recent studies show that a monetary policy stance is an immediate determinant of inflation persistence. This paper shows how inflation persistence has changed over time and whether monetary policy stance plays an important role of determining inflation persistence. First, we estimate how inflation persistence has changed over time by using various models, including regime- switching ADF models and time-varying-parameter models. The results show that inflation for the period from the late 70s to the early 80s and during the foreign currency crisis in the late 90s has been relatively high with the persistence coefficient close to 1. In addition, the monetary policy stance represented by a Taylor-type policy rule has been more aggressive against inflation since 2000 when both inflation and its persistence were low and stable. Also, inflation persistence rather rises with macroeconomics instability under passive monetary policy. Therefore, the monetary policy stance on inflation appears to play an important role in lowering inflation persistence and achieving macroeconomic stability." @default.
- W2780500076 created "2018-01-05" @default.
- W2780500076 creator A5072125191 @default.
- W2780500076 date "2015-01-01" @default.
- W2780500076 modified "2023-09-27" @default.
- W2780500076 title "Inflation Dynamics and Monetary Policy (in Korean)" @default.
- W2780500076 hasPublicationYear "2015" @default.
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