Fig 1.
Note: Percent change is the change over the previous one year. The data shown in the figure span the period from January 1999 to December 2017. Source: Federal Reserve Bank of St. Louis economic database.
Fig 2.
U.S. core inflation, domestic and foreign output gap, technology drag, federal funds rate, U.S. dollar index and nonfarm labor productivity: 1999–2016.
Note: Data calculated by the author.
Table 1.
Time series variables—ZA Unit root test results.
Table 2.
Results of dummy tests for model 4.
Table 3.
(GMM) Estimation Results of the inflation dynamics for the United States.
Table 4.
Robustness: Alternative break dates.
Table 5.
Robustness: Dropping domestic, foreign or technology variables.