Ultraviolet-Protected Inflation

Investing in Treasury Inflation Protected Securities

Inflation-protected securities are bonds with unique investment characteristics. These securities represent a relatively new type of financial asset in the United States, where the government first issued Treasury Inflation-Indexed Securities (also called Treasury inflation-protected securities, or TIPS) in January 1997. The TIPS market has experienced rapid growth: Its total value had climbed ...

Pricing Treasury Inflation Protected Securities and Related Derivatives using an HJM Model

This paper uses an HJM model to price TIPS and related derivative securities. First, using the market prices of TIPS and ordinary U.S. Treasury securities, both the real and nominal zero-coupon bond price curves are obtained using standard coupon-bond price stripping procedures. Next, a three-factor arbitragefree term structure model is fit to the time series evolutions of the CPI-U and the rea...

Protected areas – protected species?

Wild life: The elusive fosa (Cryptoprocta ferox) is the top predator in the dry deciduous forests of Madagascar, but very little was known about its biology until the 1990s. The presence of volunteer groups studying its role in the forest’s ecology has also helped to protect its habitat. (Photo: Earthwatch/ Luke Dollar.) The world’s latest national park has just been created in the east of Russ...

The Relation Between Inflation and Inflation Uncertainty In Iran

Inflation and Eternal Inflation

The basic workings of inflationary models are summarized, along with the arguments that strongly suggest that our universe is the product of inflation. The mechanisms that lead to eternal inflation in both new and chaotic models are described. Although the infinity of pocket universes produced by eternal inflation are unobservable, it is argued that eternal inflation has real consequences in te...