The ifo Business Climate Index is the most important early indicator for developments in the German economy. It aggregates thousands of responses from the companies surveyed in the ifo business surveys on a monthly basis. This article presents the new ifo Business Climate for Germany, which will...

Does time-varying business volatility affect the price setting of firms and thus the transmission of monetary policy into the real economy? To address this question, we estimate from the firm-level micro data of the German IFO Business Climate Survey the impact of idiosyncratic volatility on the...