Besides the theoretical (Alchian/Klein, 1973) case for including asset prices in measures of inflation, there is also a … practical case, that some asset prices, notably housing, are closely associated with the main trends in inflation, and via …

We investigate how non-specialists form inflation expectations by running an experiment using a basic Overlapping … Generations (OLG) model. The participants of the experiment are students of the University of Amsterdam, who predict inflation … substantially more difficulty in stabilizing inflation development by submitting accurate predictions than participants in the first …

national output gaps constructed turn out to significantly explain future changes in inflation. Moreover, the analysis also … reveals that an aggregate European output gap significantly precedes aggregate European inflation, as well as inflation in the … individual EU countries. These findings imply that an aggregate European output gap may serve as an inflation indicator for the …

explicitly target asset prices directly or through the inclusion of asset prices in its measure of inflation, counterfactual …

This paper proposes testable conditions that core inflation measures should satisfy. Trend inflation indicators … inflation", the "10% trimmed mean", and the "25% trimmed mean" do not meet the proposed conditions. However, they are satisfied …" indicators. Yet, only the last two indicators can be used as useful core inflation measures, as the first one is not computable …

Applying the concept of underlying inflation can be thought of as an attempt to capture the general trend in inflation … more accurately than with readily available data on headline inflation. In this paper a number of approaches to the … analysis of underlying inflation are examined from a unifying standpoint, stressing their complementary nature, and empirical …

This paper examines whether the clarity of central bank communication about inflation has changed with the economic … environment. We use readability statistics and content analysis to study the clarity of communication on the inflation outlook by … explaining their policies when faced with higher uncertainty or a less favorable inflation outlook. The global financial crisis …

of inflation risks. The empirical application shows that trading off monetary and macroprudential policy reduces the … overall costs related to inflation and financial instability. This can be achieved by changing the preferences of the central … bank, lengthening the monetary policy horizon and by a more flexible inflation target. Estimation results of a probit model …