-specific labour imply a sufficient degree of real rigidity, and so can reproduce inflation dynamics well. However, they imply too … little real rigidity and, so, too volatile inflation, owing to strong responses of marginal wages and hours per employee … the responses of wages, inflation and employment. …

. Core inflation measures typically entail excluding some components or deriving trend measures. This paper uses a structural … VAR with long-run identifying restrictions to arrive at two core measures: latent inflation and permanent inflation …. Results for the 1970-1993 period show that inflation dynamics in Spain is strongly inertial and shocks with a permanent effect …

adjustments similar to that observed in microeconomic data, both for low and high inflation. Our setup is based on one fundamental …, and because it implies a large fall in the standard deviation of price adjustments as trend inflation increases. Even …-behaved when we change the steady state inflation rate, matching the data at least as well as Golosov and Lucas' model. …

to iid and autocorrelated money growth shocks, and decompose the inflation impact into 'intensive margin', 'extensive … inflation and output. The real effects are substantially larger if money growth is autocorrelated. In contrast, if we instead … impose a fixed menu cost specification, money growth shocks cause a sharp spike in inflation (via the selection component) so …

The New Keynesian Phillips Curve (NKPC) is now the dominant model of inflation dynamics. In recent years, a large body …

constant inflation. This change has been more pronounced than elsewhere. We argue that this stems from the immigration boom in …' labor supply or bargaining power differ. Estimation of the curve for Spain indicates that the fall in unemployment since … 1995 would have led to an annual increase in inflation of 2.5 percentage points if it had not been largely offset by …

, with a special attention to observed growth and inflation differentials with respect to the rest of the European Monetary … particular, demand and productivity shocks for growth and cost-push shocks for inflation) as well as asymmetric economic …