THE SWINGS OF U.S. INFLATION AND THE GIBSON PARADOX.

In recent business cycles, U.S. inflation has experienced a reduction of volatility and a severe weakening in the correlation to the nominal interest rate (Gibson paradox). We examine these facts in an estimated dynamic stochastic general equilibrium model with money. Our findings point at a flatter...

Full description

Bibliographic Details

Published in:	Economic Inquiry Vol. 56; no. 2; pp. 799 - 821
Main Authors:	Casares, Miguel, Vázquez, Jesús
Format:	Article
Published:	Wiley-Blackwell Apr2018
Subjects:	United States Price inflation Risk aversion Business cycles Economic equilibrium Gibson paradox
Online Access:	View this record in EBSCOhost