Title of article
Aggregate andwelfareeffectsofredistributionofwealthunder inflation andprice-leveltargeting
Author/Authors
Ce´ saire A.Meha، نويسنده ,
Issue Information
روزنامه با شماره پیاپی سال 2010
Pages
16
From page
637
To page
652
Abstract
An unanticipatedriseinthepricelevelredistributeswealthfromlenderstoborrowers.
Its sizedependsonthemonetarypolicyregime,asinflationtargeting(IT)andprice-
level targeting(PT)havedifferentimplicationsfortheprice-levelpathfollowingprice-
level movements.Theeffectsofanunexpected1%price-levelincreasearemeasuredand
assessedunderbothregimes.Overall,theredistributionofwealthandtheimplied
aggregateandwelfareeffectsarelargerunderITthantheyareunderPT.Theyoungest,
the poorest,andthegovernmentgainattheexpenseoftherestofthepopulationand,
when thegovernmentgainisgiventohouseholdsaslump-sumtransfers,theeffectson
GDP arenegativeandlong-lasting
Journal title
Journal of Monetary Economics
Serial Year
2010
Journal title
Journal of Monetary Economics
Record number
846419
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