Colavecchio, Roberta; Amisano, Gianni; Fagan, Gabriel - 2014
We employ a money-based early warning model in order to analyse the risk of a low inflation regime in the Euro Area …, Japan and the US. The model specification allows for three different inflation regimes: "Low", "Medium" and "High" inflation … estimate the model with data from the mid 1970s up to the present. Our analysis suggests that the risks of a "Low" inflation …