…an “implied” inflation target at Long-run equilibrium. LR Natural Implied Inflation target = LR Expected Fed rate – LR Expected natural real rate When the Fed’s inflation target is different…

…the target bonds that have been issued. Then the market for the target bond would freaze with the Fed offering to sell it for a price higher than anyone is…

…of this year, the 95 percent target will not even be “aspirational.” In its FY 2021 Annual Report to Congress, the Postal Service states that its target for First Class composite…

The normal Taylor rule takes into account the difference between inflation and a target inflation, and output and a targeted potential output. I will take a modified version of the…

…to Secular Stagnation… higher inflation target more government spending redistribution of income As such, Paul Krugman today mentioned the need for a higher inflation target and maybe permanent fiscal stimulus……

It seems that the most recent employment report has convinced several* economists that there is a high risk that the Fed Open Market Committee (FOMC) will raise the target Federal…

…is critical given the substantial variation in the size of different target populations, the costs generated by different populations, and the proportion of the target population likely to be affected…

…constraining power at all. A 2030 target won’t be met or unmet until 2030, and by then it will be too late. Same, and worse, for a 2050 target. Moreover,…

…mainstream Keynesians including Olivier Blanchard and Paul Krugman argued for a 4% target. Later then went soft (dry — some meaningless metaphor anyway) and advocated a 3% target. Now they…

…to zero. So inflation expectations are the same whether the target is 2% or 2.5% (this argument very much relies on the assumption of rational expectations). So changing the target…