Disinflation in steps and the Phillips curve: Israel 1986–2015

Non-linearity in the Phillips curve: evidence from Nigeria

“…Third, policymakers might also need to strengthen their commitment to inflation targeting because a long-term commitment to disinflation programs is crucial to this economy. As pointed out by Melnick and Strohsal (2017), even when fiscal and monetary policies are adequate and heterodox components are employed, the disinflation process is long and a long-term commitment to disinflation is required. Furthermore, since the findings establish an asymmetric Phillips curve for the economy, policymakers should be mindful of the jobless costs of pursuing low or average inflation.…”

Information and the Formation of Inflation Expectations by Firms: Evidence from a Survey of Israeli Firms

“…Israeli monetary policy gained credibility during two key episodes: the first was the Bank of Israel's policy response to the LTCM crisis in 1998, and the second was the reversal of the monetary policy, after the surprise step taken by the Bank, drastically reducing the interest rate resulting in a large shock in markets at the end of 2001 (for details see Melnick and Strohsal, 2017). On both occasions, the shocks led to strong capital flows out of the economy, which led to the depreciation of the currency and created price shocks against the backdrop of the dollarization of the economy, a pathological inheritance of Israel's history of inflation (Shiffer, 2001).…”

Wages and inflation in Mexican manufacturing. A two-period comparison: 1994-2003 and 2007-2016

“…These problems have been dealt with extensively in the literature. Evidence of these issues can be found in Chow, 1960;Lucas, 1972;Wallis, 1979;Desai, 1975;Henry and Ormerod, 1978;Samuelson, 1994;Lucas, 1996;Melnick and Strohsal (2017), for instance.…”