Some Evidence on Policy Makers’ Motives, Macroeconomic preferences and Output-Inflation Trade-offs
This paper presents the results of an empirical study of the relationship between macroeconomic performance and policy makers' preferences for real output growth and inflation based on quarterly data from 16 countries. The empirical results indicate that a lower priority to inflation and a higher real output growth target lead to higher inflation and a less favourable real output-inflation trade-off, without affecting real output growth.
|Keywords||Philips Curve, United States, economic forecasting, fiscal policy, inflation (finance), macroeconomics, mathematical models|
Swank, O.H.. (1997). Some Evidence on Policy Makers’ Motives, Macroeconomic preferences and Output-Inflation Trade-offs. Applied Economics, 251–258. Retrieved from http://hdl.handle.net/1765/12302