RDP 9105: Inflation in Australia: Causes, Inertia and Policy Equation (13)

Δ π t =βΔ π ^ t +γ( π ^ t1 π t1 )+ u t . MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaeuiLdqKaeq iWda3aaSbaaSqaaiaabshaaeqaaOGaeyypa0JaeqOSdiMaeuiLdqKa fqiWdaNbaKaadaWgaaWcbaGaaeiDaaqabaGccqGHRaWkcqaHZoWzca GGOaGafqiWdaNbaKaadaWgaaWcbaGaaeiDaiabgkHiTiaaigdaaeqa aOGaaiykaiabgUcaRiaabwhadaWgaaWcbaGaaeiDaaqabaGccaGGUa aaaa@4D8A@