On the Endogeneity of Inflation Targeting: Preferences Over Inflation
Over the last quarter of a century, inflation targeting has become a popular monetary regime. Nevertheless, empirical evaluations of IT have shown contradictory results. Part of the reason is that IT in and of itself constitutes an endogenous decision and thus needs to be properly instrumented. In this paper, we show that preferences over inflation constitute a crucial determinant of IT: countries exhibiting greater inflation aversion are more likely to adopt IT.
|Date of creation:||20 Feb 2011|
|Date of revision:|
|Contact details of provider:|| |
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Laurence M. Ball & Nicolás De Roux & Marc Hofstetter, 2011.
"Unemployment in Latin America and the Caribbean,"
NBER Working Papers
17274, National Bureau of Economic Research, Inc.
- Laurence Ball & Nicolás De Roux & Marc Hofstetter, 2011. "Unemployment in Latin America and the Caribbean," DOCUMENTOS CEDE 008917, UNIVERSIDAD DE LOS ANDES-CEDE.
- Laurence M. Ball & Nicolas de Roux Uribe & Marc Hofstetter, 2011. "Unemployment in Latin America and the Caribbean," IMF Working Papers 11/252, International Monetary Fund.
- Laurence Ball & Nicolás De Roux & Marc Hofstetter, 2011. "Unemployment in Latin America and the Caribbean," Economics Working Paper Archive 582, The Johns Hopkins University,Department of Economics.
- DiTella, Rafael & MacCulloch, Robert & Oswald, Andrew J., 2001.
"Preferences over inflation and unemployment: Evidence from surveys of happiness,"
ZEI Working Papers
B 03-2001, University of Bonn, ZEI - Center for European Integration Studies.
- Robert J. MacCulloch & Rafael Di Tella & Andrew J. Oswald, 2001. "Preferences over Inflation and Unemployment: Evidence from Surveys of Happiness," American Economic Review, American Economic Association, vol. 91(1), pages 335-341, March.
- Bystedt, Brianne & Brito, Ricardo D., 2008.
"Inflation targeting in emerging economies: Panel evidence,"
Insper Working Papers
wpe_125, Insper Working Paper, Insper Instituto de Ensino e Pesquisa.
- Brito, Ricardo D. & Bystedt, Brianne, 2010. "Inflation targeting in emerging economies: Panel evidence," Journal of Development Economics, Elsevier, vol. 91(2), pages 198-210, March.
- Kishore Gawande & Usree Bandyopadhyay, 2000. "Is Protection for Sale? Evidence on the Grossman-Helpman Theory of Endogenous Protection," The Review of Economics and Statistics, MIT Press, vol. 82(1), pages 139-152, February.
- Betsey Stevenson & Justin Wolfers, 2008.
"Happiness Inequality in the United States,"
NBER Working Papers
14220, National Bureau of Economic Research, Inc.
- Stevenson, Betsey & Wolfers, Justin, 2008. "Happiness Inequality in the United States," CEPR Discussion Papers 6929, C.E.P.R. Discussion Papers.
- Stevenson, Betsey & Wolfers, Justin, 2008. "Happiness Inequality in the United States," IZA Discussion Papers 3624, Institute for the Study of Labor (IZA).
- Adi Brender & Allan Drazen, 2004.
"Political Budget Cycles in New versus Established Democracies,"
NBER Working Papers
10539, National Bureau of Economic Research, Inc.
- Brender, Adi & Drazen, Allan, 2005. "Political budget cycles in new versus established democracies," Journal of Monetary Economics, Elsevier, vol. 52(7), pages 1271-1295, October.
- Abdul d Abiad & Petya Koeva Brooks & Irina Tytell & Daniel Leigh & Ravi Balakrishnan, 2009. "Whatâ€™s the Damage? Medium-term Output Dynamics After Banking Crises," IMF Working Papers 09/245, International Monetary Fund.
When requesting a correction, please mention this item's handle: RePEc:col:000089:008731. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Universidad De Los Andes-Cede)
If references are entirely missing, you can add them using this form.