I have explored the implications of downward nominal rigidity for the Phillips curve and stabilization policy in greater depth in Janet L. Yellen and George A. Akerlof (2006), “Stabilization Policy: A Reconsideration,” Economic Inquiry, vol. 44 (January), pp. 1–22. 6  See Congressional Budget Office (2012), “Economic Effects of Reducing the Fiscal Restraint That Is Scheduled to Occur in 2013 (PDF)”, (Washington: CBO, May).
It is a matter of significance that some of the major self-regulatory organisations (SROs) in the debt markets of Asia have taken this initiative to exchange ideas and experiences of the emerging economies from Asia and I am sure that this Conference would be mutually beneficial as each one of us gains valuable insights by absorbing the experience of other countries.