• 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