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Original scientific paper

https://doi.org/10.18045/zbefri.2016.2.363

Poland as an inflation nutter:The story of successful output stabilization

Maciej Ryczkowski orcid id orcid.org/0000-0003-2156-6823 ; Faculty of Economic Sciences and Management, Nicolaus Copernicus University, Toruń, Poland


Full text: english pdf 722 Kb

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Abstract

The goal of the paper is to verify whether the National Bank of Poland (NBP)
follows pure inflation targeting. The contemporaneous and forward looking,
numerous Taylor rules estimated with the OLS and GMM methods provided weak
evidence of any significant importance attached by NBP to output stabilization in
the reaction function. The strong focus of NBP on its primary target has led to a
satisfactory performance of the central bank in stabilizing the real economy. This
suggests the basic conclusion that pure inflation targeters may perform equally
fine in stabilizing the real economy as countries which officially attach importance
to output stabilization.

Keywords

Taylor rule; National Bank of Poland’s preferences; performance of output stabilization; inflation targeting; inflation-output trade-off

Hrčak ID:

171144

URI

https://hrcak.srce.hr/171144

Publication date:

22.12.2016.

Article data in other languages: croatian

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