Anchoring inflation eases deflation risks: IMF paper


An IMF paper published in June finds evidence that suggests well-anchored inflation expectations reduce the risk of a deflationary spiral forming.

Laurence Ball and Sandeep Mazumder, the paper's authors, use a Phillips curve to estimate inflation dynamics in the US from 1960. They examine inflation expectations over the period, as previous estimates using the Phillips curves over the period show inflation has fallen by more than expected during 2008 and 2010.

The authors find evidence suggesting

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here:

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: