University of Isfahan International Economics Studies 2008-9643 40 1 2633 06 22 The Impact of Monetary Regime on the Exchange Rate Pass-Through under Inflationary Environment (Dynamic Panel Data Approach) 37 45 15551 10.22108/ies.2633.15551 EN Ali Reza I Kazeroon Tabriz Majid Feshari Tabriz Journal Article 2016 06 14  The main objective of this paper is to investigate the effects of monetary regime (countries with inflation targeting monetary policy versus countries with exchange rate anchor) on the extent of exchange rate pass-through over the period of 1999-2010. To achieve this objective, the econometric model has been estimated by Dynamic Panel Data approach and Arrelano- Bond (AB) method. The empirical findings indicate that the interaction effect of monetary regime with exchange rate has a negative and positive impact on the exchange rate pass-through in first and second groups of countries respectively. However, the cross effect of inflationary environment with nominal effective exchange rate has negative and significant effect on domestic price level in the both groups of countries. Hence, overall, the Taylor hypothesis has been confirmed.JEL Classification: C23:F14:F31 https://ies.ui.ac.ir/article_15551_4377916573ef016d58209c0f5dc72812.pdf