The Ups and Downs of Inflation and the Role of Fed Credibility, FRB St Louis, The Regional Economist, Apr 2014
This article looks at the US history of interest rates and inflation to clarify ideas about monetary policy and credibility. Inflation expectations turn out to be key.
Inflation targeting vs price-level targeting: A new survey of theory and empirics, VoxEU, 11 May 2014
This article reviews the merits of price-level targeting. The latter could potentially help monetary policy deal with the zero bound on nominal interest rates. Such beneficial effects depend on rational expectations and a New Keynesian structure of the economy.
Financial Market Outlook for Inflation, FRB San Francisco Economic Letter, 12 May 2014
Inflation caps and floors give evidence that investors seem less uncertain about inflation forecasts than in recent years, and that they perceive a favorable inflation outcome as increasingly likely.