After peaking at 7 percent in June 2022, inflation has fallen dramatically in the United States. In November, year-over-year inflation clocked in at 2.6 percent, as measured by the Federal Reserve’s ...

A new study that examined 150 years of tariffs in the U.S. and abroad found they disrupt the economy and financial markets so much that the result is lower inflation. The conclusion goes against the ...

Policy makers need to separate between temporary demand-driven shocks and permanent shocks in order to design optimal aggregate demand policies. In this paper we study the case of a central bank that ...