The main contribution of this paper is to jointly estimate the effects of financial development and inflation on growth. We aim to exploit both the cross-section and the time-series dimension of the data on inflation, growth and some banking and stock market indicators over the period 1961-1993...

This paper looks at the long term output effect of those monetary policies aimed at reducing inflation from its peak by late seventies, in nine major OECD countries. The estimated effect depends on the way nominal shocks are identified. Alternatively to the cross-country regression analysis we...

This document presents a multivariate transfer function model for two components of CPI, the processed food and non-energy industrial goods, where the component of consumption goods of industrial price index (i.e. wholesale prices) is used as a leading indicator. We find that inflation rates of...

This working paper details unit root tests for monthly series, with the possibility of the stationary part having been generated by an ARMA process. The paper is complemented by an application to the four basic stochastic components of the consumer price index. Test evidences that the long-run...

Using interpolation of the Spanish domestic private consumption deflactor, we review some of the signals extraction techniques, as well as interpolation of time series, i.e. deriving quarterly data from annual data. For the decomposition of a series in its observable components (trend plus...

To select the best leading indicators for predicting short-term inflation, an extensive number of economic variables is analysed at quarterly level on the basis of their past correlation with the consumer price index (CPI) and its services and non-energy processed goods component (IPSEBENE)....

This paper assesses the impact of oil price changes on Spanish and euro area consumer price inflation. We find, consistently with recent international evidence, that the inflationary effect of oil price changes is limited, even though crude oil price fluctuations are a major driver of inflation...

The paper presents a theory of nominal asset prices for competitively owned oil. Focusing on monetary effects, with flexible oil prices the US dollar oil price should follow the aggregate US price level. But with rigid nominal oil prices, the nominal oil price jumps proportionally to nominal...

This paper studies the joint behaviour of inflation and unemployment in Spain over the period 1964-1995. We analyze the implications both of full hysteresis in unemployment and high inflation persistence for inference regarding dynamic Phillips trade-offs and sacrifice ratios in the Spanish...