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The Great Inflation Was Not Asymmetric: International Evidence

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  • DEAN SCRIMGEOUR

Abstract

The rise and fall of inflation during the Great Inflation were events of approximately equal duration in developed economies. Relying on data‐driven methods, this paper shows the American experience, in which inflation fell more quickly than it rose, was anomalous. This suggests that theories explaining the asymmetry in the American data may not be so applicable to a broader sample of countries.

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  • Dean Scrimgeour, 2008. "The Great Inflation Was Not Asymmetric: International Evidence," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 40(4), pages 799-815, June.
    • Handle: RePEc:wly:jmoncb:v:40:y:2008:i:4:p:799-815
    DOI: 10.1111/j.1538-4616.2008.00137.x
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    1. Giorgio E. Primiceri, 2006. "Why Inflation Rose and Fell: Policy-Makers' Beliefs and U. S. Postwar Stabilization Policy," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 121(3), pages 867-901.
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    2. Malmendier, Ulrike M. & Botsch, Matthew J., 2020. "The Long Shadows of the Great Inflation: Evidence from Residential Mortgages," CEPR Discussion Papers 14934, C.E.P.R. Discussion Papers.

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