La meta del Banco Central y la persistencia de la inflación en Colombia

in this document we estimate an econometric model which describes quarterly inflation by an unobserved component trend-cycle model, where the trend is probably induced by the target of the central bank. it shows that inflation persistencerose in colombia between 1979-1989 and 1989-1999, and decreased to its lowest level in 1999-2010, thanks to the adoption of inflation targeting. the inflation gap shows low persistence, a result compatible with the neo-keynesian phillips curve. the final part of the document evaluates inflation persistence for the different components of inflation used by the central bank to project inflation.